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| Title: | | Are wages equal across sectors of production? A panel data analysis for tradable and non-tradable goods  |
| Authors: | | Schmillen, Achim |
| Issue Date: | | 2010 |
| Series/Report no.: | | Arbeiten aus dem Osteuropa-Institut Regensburg, Wirtschaftswissenschaftliche Abteilung 285 |
| Abstract: | | The assumption that national labor markets are homogenous across tradable and non-tradable goods is common in multisector (open-economy) macro models and crucial for the prominent Balassa-Samuelson hypothesis. This study tests it with a novel method to distinguish the tradable and non-tradable sectors grounded in economic theory, modern empirical methods and a large and detailed macro data set. It finds that both the internal relationship between productivity and wages in the tradable and non-tradable sectors postulated by the Balassa-Samuelson hypothesis and its external transmission mechanism are rejected. |
| ISBN: | | 978-3-938980-34-7 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Working Papers, Osteuropa-Institut Regensburg (OEI)
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