Wage Determination and Active Labour Market Programme
AbstractThis paper estimates the impact of active labour market programmes on wages in the UK. We estimate real wage equations, disaggregated by both region and industry, using a theoretical model which explicitly takes account of the welfare implications of labour market programmes for current employed workers who face the possibility of becoming unemployed. The industry results suggest that youth training programmes may have increased wages in the distribution sector whereas the regional estimates indicate that Ã”Restart' interviews have put significant downward pressure on UK wages (by helping, or forcing, the long-term unemployed to search more effectively for jobs and/or encouraging them to take lower paid jobs than they otherwise would). In addition to the direct impact of Ã”Restart', our disaggregated analysis suggests that the unusually high level of unemployment in the South East and the skill-composition of the unemployed may explain why recent earnings growth has been so subdued relative to previous recoveries. No PDF version is available. Please contact the NIESR Publications Office to order a free hard copy of this Discussion Paper.
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Bibliographic InfoPaper provided by National Institute of Economic and Social Research in its series NIESR Discussion Papers with number 241.
Date of creation: Jul 1996
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- Mark Rogers, 2010. "R&D and productivity: using UK firm-level data to inform policy," Empirica, Springer, vol. 37(3), pages 329-359, July.
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