Beggaring Thy Co-Worker
Labor Market Dualization and the Wage Growth Slowdown in Europe
Bibliographic Data
| ID | 7801747 |
|---|---|
| Authors | Lukas Lehner (0000-0002-6639-3623), Paul Ramskogler, Aleksandra Riedl (Vienna University of Economics and Business) |
| Year | 2024 |
| Volume | 77 |
| Issue | 5 |
| Pages | 659-684 |
| Publication date | 2024-10-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Industrial and Labor Relations Review (JOURNAL) |
| Journal identifiers | ISSN: 0019-7939 • E-ISSN: 2162-271X |
| Publisher | SAGE Publications (PUBLISHER • US) |
| DOI | 10.1177/00197939241248162 |
| OpenAlex | W4398170381 |
| Language | EN |
| Citations received | 2 |
| References cited | 55 |
As temporary employment has become a pervasive feature of modern labor markets, reasons for wage growth have become less well understood. To determine whether these two phenomena are related, the authors investigate whether the dualized structure of labor markets affects macroeconomic developments. Specifically, they incorporate involuntary temporary workers into the standard wage Phillips curve to examine wage growth in 30 European countries for the period 2004–2017. Relying on individual-level data to adjust for a changing employment composition, their findings show, for the first time, that the incidence of involuntary temporary workers has strong negative effects on permanent workers’ wage growth, thereby dampening aggregate wage growth. This effect, which the authors name the competition effect, is particularly pronounced in countries where wage bargaining institutions are weak. The findings shed further light on the reasons for the secular slowdown of wage growth after the global financial crisis
Economic growth · Economic slowdown · Economics · Labour economics · Market economy · Slowdown · Wage · Wage growth · Employment and Welfare Studies · Labor market dynamics and wage inequality · Social Policy and Reform Studies
Internal labor markets and manpower analysis
Econometric Analysis of Panel Data
Labor Market Institutions and the Distribution of Wages, 1973-1992
Job Security Provisions and Employment
Wage Determination
Bargaining Structure, Corporatism and Macroeconomic Performance
How to do Xtabond2
The central role of the propensity score in observational studies for causal effects
Some Tests of Specification for Panel Data
Initial conditions and moment restrictions in dynamic panel data models
Varieties of Liberalization and the New Politics of Social Solidarity
Rethinking trade union density
The Logic of Collective Action
The Unreliability of Output-Gap Estimates in Real Time
On Adjusting the Hodrick-Prescott Filter for the Frequency of Observations
Paying Outsourced Labor
Labour shares, employment protection and unions in European economies
Temporary employment in Europe
On the outside looking in? Transitions out of non-employment in the United Kingdom and Germany
Labor Market Flexibility and Inequality
Starting Your Career With a Fixed-Term Job
Knockin’ on heaven’s door? Reframing the debate on temporary employment and wages
Underemployment in the United States and Europe
Do Firms Demand Temporary Workers When They Face Workload Fluctuation? Cross-Country Firm-Level Evidence
Dual Labor Markets at Work
The Deregulation of Temporary Employment and Workers' Perceptions of Job Insecurity
The Role of Temporary Agency Employment in Tight Labor Markets
The Incidence of Temporary Employment in Advanced Economies
Explaining the OECD Wage Slowdown Recession or Labour Decline
Insiders under pressure
| Unique citing works | 2 |
|---|---|
| Citations per year | 1 |
| Citation span | 2024 - 2025 (2) |
| Citation velocity | recent |
| Highly cited | No |
| Citation types | Neutral: 2 |