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Differences in underemployment between the United States and the Netherlands

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  • Dijk, Jouke van

    (Groningen University)

Abstract

In this paper the method of cross nation comparison has been applied to analyze wage impacts of labor market institutions. The countries under comparison are the US and the Netherlands. By means of stochastic wage frontier models it has been shown that labor market institutions, in particular, higher unemployment benefits and collective bargaining lead to substantial less underemployment in the Netherlands than in the US. Information channels also play a role, especially in the US, although to a smaller extent.

Suggested Citation

  • Dijk, Jouke van, 1998. "Differences in underemployment between the United States and the Netherlands," Research Report 98D26, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    • Handle: RePEc:gro:rugsom:98d26
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    File URL: http://irs.ub.rug.nl/ppn/170991903
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    References listed on IDEAS

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    2. Peter Dawson & Timothy Hinks & Duncan Watson, 2001. "German Wage Underpayment: An Investigation into Labor Market Inefficiency and Discrimination," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 70(1), pages 107-114.

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