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Autoren: 
Marzinotto, Benedicta
Turrini, Alessandro
Datum: 
2016
Schriftenreihe/Nr.: 
IZA Discussion Papers No. 9964
Zusammenfassung: 
This paper assesses the relationship between government and manufacturing wages. We find that the long-run relation between the two wages is stronger when the government is a large employer. Manufacturing wages are better aligned with productivity and unemployment when public wages, to which they respond, are set through bargaining. Finally, manufacturing wages react in the same way whether public wages are increased or cut, a relation that seems to hold also under fiscal consolidation provided the public sector is a large employer.
Schlagwörter: 
government wages
wage-setting
cost competitiveness
fiscal consolidation
cointegration
JEL: 
C32
E24
E62
H59
Dokumentart: 
Working Paper

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