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Equilibrium Unemployment with Outsourcing andWage Solidarity Under Labour Market Imperfections

Koskela, Erkki; Stenbacka, Rune - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2007

We evaluate the effects of outsourcing and wage solidarity on wage formation andequilibrium unemployment in a …

Persistent link: https://www.econbiz.de/10005863113

Equilibrium Unemployment with OutsourcingUnder Labour Market Imperfections

Koskela, Erkki; Stenbacka, Rune - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2007

We study both the various consequences and the incentives of outsourcing. We argue thatthe wage elasticity of labour demand is increasing as a function of the share of outsourcing,which is importantly a result consistent with existing empirical research...

Persistent link: https://www.econbiz.de/10005863250

Equilibrium Unemployment with Outsourcing and Wage Solidarity Under Labour Market Imperfections

Koskela, Erkki; Stenbacka, Rune - 2014

We evaluate the effects of outsourcing and wage solidarity on wage formation and equilibrium unemployment in a … magnify, and not dampen, this tendency. Further, higher outsourcing will increase equilibrium unemployment among the high … unemployment under the reasonable condition that the proportion of high-skilled workers is sufficiently low …

Persistent link: https://www.econbiz.de/10014051183

Strategic Outsourcing, Profit Sharing and Equilibrium Unemployment

Koskela, Erkki; König, Jan - 2021

, profit sharing, and equilibrium unemployment when profit sharing is also a part of a compensation scheme in all industries … sharing. For equilibrium unemployment, we find that if there is also profit sharing in other industries, the effects of … outsourcing and profit sharing on the unemployment rate is ambiguous both in the committed and flexible case …

Persistent link: https://www.econbiz.de/10013324831

Equilibrium Unemployment with Outsourcing Under Labour Market Imperfections

Koskela, Erkki - 2007

unemployment. Finally, we characterize the optimal production mode and show that stronger labour market imperfections lead to a …

Persistent link: https://www.econbiz.de/10012777445

What Is the Value of Entrepreneurship?A Review of Recent Research

Praag, Mirjam van; Versloot, Peter H. - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2007

This paper examines to what extent recent empirical evidence can collectively andsystematically substantiate the claim that entrepreneurship has important economic value.Hence, a systematic review is provided that answers the question: What is the contribution ofentrepreneurs to the economy in...

Persistent link: https://www.econbiz.de/10005862087

Monopsony Makes Firms Not Only Small But Also Unproductive : Why East Germany Has Not Converged

Bachmann, Ruediger; Bayer, Christian; Stüber, Heiko; … - 2022

When employers face a trade-off between growing large and paying low wages that is, when they have monopsony power some productive employers will decide to acquire fewer customers, forgo sales, and remain small. These decisions have adverse consequences for aggregate labor productivity. Using...

Persistent link: https://www.econbiz.de/10014083690

Misallocation and Inequality

Guner, Nezih; Ruggieri, Alessandro - 2022

For a large set of countries, we document how the labor earnings inequality varies with GDP per capita. As countries get richer, the mean-to-median ratio and the Gini coefficient decline. Yet, this decline masks divergent patterns: while inequality at the top of the earnings distribution falls,...

Persistent link: https://www.econbiz.de/10014083775

Does International Outsourcing Really Lower Workers' Income?

Koskela, Erkki - 2010

We analyze the impact of international outsourcing on income, if the domestic labor market is imperfect. We distinguish in our analysis between the case where the parties negotiate over the wage only and where they negotiate over both wage and profit share. We find that in the first case...

Persistent link: https://www.econbiz.de/10013141774

Profit Sharing, Wage Formation and Flexible Outsourcing Under Labor Market Imperfection

Koskela, Erkki - 2010

We combine profit sharing and outsourcing, if the wage for worker is decided by a labor union to analyze how does the implementation of profit sharing affect individual effort and the bargained wage and thus outsourcing? We find that profit sharing and the wage level have an individual...

Persistent link: https://www.econbiz.de/10013148291