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Wage Moderation in France

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  • Mr. Marcello M. Estevão
  • Ms. 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.

Suggested Citation

  • Mr. Marcello M. Estevão & Ms. Nigar Nargis, 2002. "Wage Moderation in France," IMF Working Papers 2002/151, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2002/151
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    References listed on IDEAS

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    1. David Card, 1995. "The Wage Curve: A Review," Working Papers 722, Princeton University, Department of Economics, Industrial Relations Section..
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    7. Nickell, Stephen J, 1981. "Biases in Dynamic Models with Fixed Effects," Econometrica, Econometric Society, vol. 49(6), pages 1417-1426, November.
    8. Guy Laroque & Bernard Salanié, 2000. "Une décomposition du non-emploi en France," Économie et Statistique, Programme National Persée, vol. 331(1), pages 47-66.
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    Citations

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    Cited by:

    1. David G. Blanchflower & Andrew J. Oswald, 2005. "The Wage Curve Reloaded," NBER Working Papers 11338, National Bureau of Economic Research, Inc.
    2. Mr. Francisco d Nadal De Simone & Mr. Luc Everaert, 2003. "Capital Operating Time and total Factor Productivity Growth in France," IMF Working Papers 2003/128, International Monetary Fund.
    3. Matthes, Jürgen, 2003. "Deutsch-französische Wirtschaftsperformance im Vergleich," IW-Trends – Vierteljahresschrift zur empirischen Wirtschaftsforschung, Institut der deutschen Wirtschaft (IW) / German Economic Institute, vol. 30(1), pages 13-23.
    4. Mr. Raphael A Espinoza & Mrs. Esther Perez Ruiz, 2014. "Labor Tax Cuts and Employment: A General Equilibrium Approach for France," IMF Working Papers 2014/114, International Monetary Fund.
    5. Mr. Marcello M. Estevão, 2003. "Do Active Labor Market Policies Increase Employment?," IMF Working Papers 2003/234, International Monetary Fund.
    6. International Monetary Fund, 2006. "France: Selected Issues," IMF Staff Country Reports 2006/390, International Monetary Fund.
    7. Sergio De Nardis & Francesca Parente, 2022. "Technology and task changes in the major EU countries," Contemporary Economic Policy, Western Economic Association International, vol. 40(2), pages 391-413, April.
    8. Mr. Marcello M. Estevão, 2004. "Why is Productivity Growth in the Euro Area so Sluggish?," IMF Working Papers 2004/200, International Monetary Fund.
    9. Mr. Irineu E de Carvalho Filho & Mr. Marcello M. Estevão, 2012. "Institutions, Informality, and Wage Flexibility: Evidence From Brazil," IMF Working Papers 2012/084, International Monetary Fund.
    10. Rozenn Desplatz & Stéphanie Jamet & Vladimir Passeron & Fabrice Romans, 2003. "La modération salariale en France depuis le début des années 1980," Économie et Statistique, Programme National Persée, vol. 367(1), pages 39-67.
    11. Jacques Pelkmans & Jean-Pierre Casey, 2004. "Can Europe Deliver Growth? The Sapir Report and Beyond," Bruges European Economic Policy Briefings 6, European Economic Studies Department, College of Europe.
    12. Baghli, M. & Brunhes-Lesage, V. & De bandt, O. & Fraisse, H. & Villetelle, J-P., 2004. "MASCOTTE: Model for AnalySing and foreCasting shOrT TErm developments," Working papers 106, Banque de France.
    13. Mr. Marcello M. Estevão, 2005. "Product Market Regulation and the Benefits of Wage Moderation," IMF Working Papers 2005/191, International Monetary Fund.

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