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Wage Moderation in France

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Author Info

  • Marcello M. Estevão
  • Nigar Nargis

Abstract

Using household level data for France from 1990 to 2000, we estimate a relationship between wages and unemployment taking into account compositional, time and regional effects. We show that this relationship shifted outward during the 1990s most likely because of a structural change in workers'' behavior, i.e. "wage moderation". The outward shift was particularly large between 1996 and 2000 and undoubtedly contributed strongly to the exceptional employment performance during that period.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 02/151.

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Length: 31
Date of creation: 01 Sep 2002
Date of revision:
Handle: RePEc:imf:imfwpa:02/151

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Related research

Keywords: Employment; Consumption; wage; unemployment; wages; unemployment rate; unemployed; labor income; labor demand; salary; unemployment rates; benefits; regional unemployment; local unemployment; employment growth; employment status; employment rate; rate of unemployment; unemployment benefits; unemployment insurance; employment levels; equilibrium unemployment rate; national unemployment rate; wage earners; voluntary unemployment; employment outlook; employment performance; equilibrium unemployment; wage increases; national unemployment; wage rate; payroll; employment rates; wage rates; composition of employment; wage equation; youth employment; natural rate of unemployment; labor force participation; employment effects; wage bargaining; earnings distribution; unemployed individuals; total employment; full-time employment; wage determination; wage level;

References

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  1. Blanchard, O & Katz, L, 1996. "What We Know and Do Not Know about the Natural Rate of Unemployment," Working papers 96-29, Massachusetts Institute of Technology (MIT), Department of Economics.
  2. Bernard Salanié & Guy Laroque, 2000. "Une décomposition du non-emploi en France," Économie et Statistique, Programme National Persée, vol. 331(1), pages 47-66.
  3. Francesco Daveri & Guido Tabellini, 2000. "Unemployment, growth and taxation in industrial countries," Economic Policy, CEPR & CES & MSH, vol. 15(30), pages 47-104, 04.
  4. Oliver J. Blanchard, 1997. "The Medium Run," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 28(2), pages 89-158.
  5. David Card, 1995. "The Wage Curve: A Review," Journal of Economic Literature, American Economic Association, vol. 33(2), pages 285-299, June.
  6. Nickell, Stephen J, 1981. "Biases in Dynamic Models with Fixed Effects," Econometrica, Econometric Society, vol. 49(6), pages 1417-26, November.
  7. Moulton, Brent R, 1990. "An Illustration of a Pitfall in Estimating the Effects of Aggregate Variables on Micro Unit," The Review of Economics and Statistics, MIT Press, vol. 72(2), pages 334-38, May.
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Citations

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Cited by:
  1. Marcello M. Estevão, 2003. "Do Active Labor Market Policies Increase Employment?," IMF Working Papers 03/234, International Monetary Fund.
  2. Marcello M. Estevão, 2004. "Why is Productivity Growth in the Euro Area so Sluggish?," IMF Working Papers 04/200, International Monetary Fund.
  3. Francisco Nadal-De Simone & Luc Everaert, 2003. "Capital Operating Time and total Factor Productivity Growth in France," IMF Working Papers 03/128, International Monetary Fund.

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