Wages and employment across skill groups: an analysis for West Germany

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Physica-Verlag, Dec 10, 1999 - Business & Economics - 251 pages
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This book investigates whether a lack of wage flexibility is at the roots of the unemployment problem in West Germany. In the presence of a skill biasis in labor demand, there only seems to exist the choice between higher wage inequality or higher unemployment rates. It is scrutinized empirically whether & in what way this line of thought is consistent with the experience of West Germany. The analysis ranges from extensive descriptive evidence on labor market trends to the estimation of a structural model of wage bargaining.

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