Recent empirical studies point to higher wages enjoyed by workers in environments where new technologies are intensively used. An examination of the 1984 and 1990 establishment-based WIRS reveals similar patterns. This paper argues that endogeneity bias is endemic in these results. Controlling...

Most models of wage determination are static. This paper analyzes a simple dynamic model of collective bargaining and argues that this provides insights into the determinants of wage pressure that a static model cannot provide. In particular, it is shown how the length of labor contracts and the...

The UK Equal Pay Act of 1970 resulted in a large rise in the relative earnings of women in the early 1970s. As this change (unlike most wage changes) was largely exogenous to employers, one can think of this episode as an experiment for testing different theories of the labour market. Hence,...