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A Regional Analysis of Wage Determination in Poland

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Author Info
Fiona Duffy
Patrick Paul Walsh

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Abstract

A simple model of wage setting and restructuring predicts that the average wage level in a regional labour market in Poland, among other factors, will be negatively related to the unemployment rate and positively related to the degree of regional restructuring. As in Blanchflower and Oswald (1994), the estimated unemployment elasticity of pay across regions is approximately - 0.1. Workers in low unemployment regions earn more pay indicating the presence of profit sharing. Workers in more restructured regions are shown to receive higher premiums in pay indicating compensation for exposure to risk during restructuring.

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File URL: http://www.econ.kuleuven.ac.be/licos/DP/DP2000/LICOSDP87.pdf
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Publisher Info
Paper provided by LICOS - Centre for Institutions and Economic Performance, K.U.Leuven in its series LICOS Discussion Papers with number 8700.

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Length: 29 pages
Date of creation: 2000
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Handle: RePEc:lic:licosd:8700

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Related research
Keywords: Wage Determination; Unemployment; Restructuring and Polish Regions;

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Find related papers by JEL classification:
J6 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies
L0 - Industrial Organization - - General
O5 - Economic Development, Technological Change, and Growth - - Economywide Country Studies

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References listed on IDEAS
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.:
  1. Philippe Aghion & Olivier J. Blanchard, 1994. "On the Speed of Transition in Central Europe," NBER Chapters, in: NBER Macroeconomics Annual 1994, Volume 9, pages 283-330 National Bureau of Economic Research, Inc. [Downloadable!]
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  2. Philippe Aghion & Olivier Jean Blanchard, 1994. "On the Speed of Transition Central Europe," NBER Working Papers 4736, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  3. Alexander Repkine & Patrick P. Walsh, 1998. "European Trade and Foreign Direct Investment U-Shaping Industrial Output in Central and Eastern Europe - Theory and Evidence," IMF Working Papers 98/150, International Monetary Fund.
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  4. Phelps, Edmund S, 1990. " Effects of Productivity, Total Domestic-Product Demand and "Incentive Wages" on Unemployment in a Non-monetary Customer-Market Model of the Small Open Economy," Scandinavian Journal of Economics, Blackwell Publishing, vol. 92(2), pages 353-67.
  5. Konings, Jozef & Walsh, Patrick P, 1994. "Evidence of Efficiency Wage Payments in UK Firm Level Panel Data," Economic Journal, Royal Economic Society, vol. 104(424), pages 542-55, May. [Downloadable!] (restricted)
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  6. Hartmut Lehmann & Patrick Paul Walsh, 1999. "Gradual restructuring and Structural Unemployment in Poland. A Legacy of Central Planning," LICOS Discussion Papers 7899, LICOS - Centre for Institutions and Economic Performance, K.U.Leuven. [Downloadable!]
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  1. David G. Blanchflower & Andrew J. Oswald, 2005. "The Wage Curve Reloaded," IZA Discussion Papers 1665, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  2. Anna Maria Ferragina & Francesco Pastore, 2005. "Mind the Gap: Unemployment in the New EU Regions," IZA Discussion Papers 1565, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
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