Do Labor Market Institutions Matter? Micro-Level Wage Effects of International Outsourcing in Three European Countries

2007 ◽  
Author(s):  
Holger Gorg ◽  
Ingo Geishecker ◽  
Jakob Roland Munch
Keyword(s):  
Labor Market ◽  
European Countries ◽  
Labor Market Institutions ◽  
International Outsourcing ◽  
Market Institutions ◽  
Wage Effects ◽  
Micro Level

International Outsourcing and Wage Rigidity

2012 ◽  
Vol 12 (2) ◽  
pp. 1850260 ◽  
Author(s):  
Daniel Horgos
Keyword(s):  
Labor Market ◽  
Panel Data ◽  
Wage Rigidity ◽  
Labor Market Institutions ◽  
International Outsourcing ◽  
Market Institutions ◽  
Market Institution ◽  
Skill Intensity ◽  
Labor Market Institution ◽  
Theoretical Results

In industrialized economies, International Outsourcing is often blamed for destroying jobs and thus, inducing unemployment. Since most contributions examining International Outsourcing assume flexible wages, they do not address these concerns directly. This paper adopts a rigid wage approach and investigates the differences occurring. As theoretical results and the empirical panel data estimations for Germany show, effects depend on industry aggregation, the industry's skill intensity, and the labor market institution. Only in industries characterized by wage rigidity, outsourcing significantly increases low skilled unemployment. Consequently, not International Outsourcing but inflexible labor market institutions instead should be blamed for destroying low skill jobs.

scholarly journals Trends in Wage Inequality in the Netherlands

De Economist ◽  
2021 ◽  
Author(s):  
Colja Schneck
Keyword(s):  
Labor Market ◽  
The Netherlands ◽  
Wage Inequality ◽  
Wage Distribution ◽  
Labor Market Institutions ◽  
Market Institutions ◽  
Educational Degree ◽  
Over Time

AbstractIn this paper I analyze changes in the wage distribution in the Netherlands. I use a matched employer-employee dataset that covers the population of employees. Wage inequality increases over the period of 2001–2016. Changes in between-firm wage components are responsible for nearly the entire increase. Increases in the variance of workers’ skills and increases in worker sorting and worker segregation explain the majority of the rise in the variance of wages. These changes are accompanied by a pattern where variation in educational degree and firm average wages become more correlated over time. Finally, it is suggested that labor market institutions in the Netherlands play an important role in mediating overall wage inequality.

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