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Relative Wage and Unemployment Changes in Poland: Microeconometric Evidence
Journal
Economic Systems
ISSN
0939-3625
ISSN-Digital
1878-5433
Type
journal article
Date Issued
2002-06-01
Author(s)
Abstract
We estimate changes in the Polish wage and unemployment structures between the years 1994 and 1998 in order to identify labour market characteristics associated with increasing and decreasing relative demand, as well as relative wage rigidities. The evidence shows that relative demand for workers with a low level of education decreased. Whereas relative wages for workers with basic vocational education also fell in this situation, relative wages of workers with only primary education did not, pointing to a relative wage rigidity for this group which faced an above-average unemployment risk throughout the observation period. Our results indicate that rather than just concentrating on average (macroeconomic) wage developments, collective wage bargaining institutions should consider microeconometric evidence which detects rigidities in the wage structure when setting European-style fixed pay scales by age, education, and region. Frühere Version: Puhani, Patrick (2000), On the Identification of Relative Wage Rigidity Dynamics. A Proposal for a Methodology on Cross-Section Data and Empirical Evidence for Poland in Transition, Diskussionspapier 2000-22, Volkswirtschaftliche Abteilung, Universität St. Gallen, auch erschienen als CEPR Discussion Paper 2670, London, IZA Discussion Paper 226, Bonn, ZEW Discussion Paper 0056, Mannheim, und The William Davidson Institute Working Paper 343. Download Internet-Appendix: (excel, 114 kb)
Language
English
Keywords
unemployment
HSG Classification
contribution to scientific community
Refereed
No
Publisher
Elsevier
Publisher place
Amsterdam
Volume
26
Number
2
Start page
99
End page
126
Pages
28
Subject(s)
Division(s)
Eprints ID
15808