Wages and employment growth
Subtitle: disaggregated evidence for West Germany
By: by Jens Suedekum, Uwe Blien.
Contributors: Blien, Uwe.
Series: Discussion paper ;; no. 1128; Discussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;; no. 1128
Publisher: IZA
Published: 2004
Place of publication: Bonn, Germany
Language: eng
Format: Electronic resource
Subjects: Wages -- Germany (West); Job creation -- Germany (West)
Description: "We address the effects of wages on employment growth on the basis of a theoretical model from which cost and demand effects can be derived. In the empirical analysis we take a highly disaggregated perspective and apply a newly developed shift-share regression technique on an exhaustive and very accurate data set for West Germany. The regression shows that the impact of regional wages on employment growth is significantly negative. There is some variation of this effect across sectors, but in no case we find support for the claim that an exogenous wage increase leads to higher employment growth"--Forschungsinstitut zur Zukunft der Arbeit web site.
Notes: Includes bibliographical references.
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