The Wage Curve an Italian Perspective
AbstractIn this paper we appraise the existence of a negative relationship between the wage level and the unemployment rate (the wage curve) across Italian regions, using data from the Bank of Italy’s Survey on Household Income and Wealth. The main advantage of this data-set is the availability of information on human capital characteristics of individuals (such as gender, age and education) and, more importantly, on hours worked. Our main finding is that, even though a wage curve exists in Italy, at least after the 1992-93 wage reforms, for annual and monthly wages, no such relationship exists for hourly wages. Consistently, after the reforms we find a negative elasticity of annual hours and months worked with respect to the unemployment rate.
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Bibliographic InfoPaper provided by CELPE - Centre of Labour Economics and Economic Policy, University of Salerno, Italy in its series CELPE Discussion Papers with number 117.
Length: 26 pages
Date of creation: 23 Nov 2011
Date of revision:
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Wage Drift; Unemployment; Labour Market Flexibility;
Other versions of this item:
- Sergio Destefanis & Giovanni Pica, 2010. "It’s wages, it’s hours, it’s the Italian wage curve," CSEF Working Papers 247, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
- J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
- J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
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