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Rent Sharing and Bargaining Levels: Evidence from Italy

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Author Info
Barbara Pistoresi () (University of Modena and Reggio Emilia)
Chiara Strozzi () (University of Modena and Reggio Emilia)

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Abstract

This paper studies the extent of rent sharing in the Italian metal- mechanical industry by analyzing separately what occurs at each stage of wage negotiations. In particular, we evaluate how, through the bargaining process, aggregate and idiosyncratic productivity shocks influence respectively centralized and decentralized wage negotiations. It turns out that while centralized agreements generate rent sharing, at the decentralized bargaining level this phenomenon is absent.

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File URL: ftp://ftp.gde.unibocconi.it/gde_articles/2003/GDE_V62_N2_P145-170.pdf
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Publisher Info
Article provided by GDE (Giornale degli Economisti e Annali di Economia), Bocconi University in its journal Giornale degli Economisti e Annali di Economia.

Volume (Year): 62 (2003)
Issue (Month): 2 (October)
Pages: 145-170
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Handle: RePEc:gde:journl:gde_v62_n2_p145-170

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Related research
Keywords: two-stage bargaining; rent sharing; dynamic factor model; dynamic correlation analysis;

Find related papers by JEL classification:
J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - General

Cited by:
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  1. Ilan Tojerow, 2008. "Industry Wage Differential, Rent Sharing and Gender in Belgium," Working Papers DULBEA 08-20.RS, Université libre de Bruxelles, Department of Applied Economics (DULBEA). [Downloadable!]
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This page was last updated on 2009-11-22.


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