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Low-wage Employment and Mobility in Spain

  • Maite Blázquez Cuesta

The issue of low-wage employment has received increased interest during recent decades in many European countries. In this paper I analyse the patterns of low-wage employment in Spain. Using a sample of Spanish workers extracted from the European Community Household Panel for the period 1995-2001, I first analyse the earnings distribution as a whole, and how low-wage employment has evolved over the period 1995-2001. Furthermore, I examine the determinants of low-wage employment using an analytical framework that is characterized by the ability to ac count for the endogeneity of initial conditions. Finally, I explore the effects of low pay on job mobility in Spain. For this purpose I adopt an approach based on competing risks in order to allow for different risks of failure. Copyright 2008 The Author. Journal compilation CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd. 2008.

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Article provided by CEIS in its journal LABOUR.

Volume (Year): 22 (2008)
Issue (Month): s1 (06)
Pages: 115-146

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Handle: RePEc:bla:labour:v:22:y:2008:i:s1:p:115-146
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  1. J.I. García-Pérez & Fernando Muñoz-Bullón, 2003. "Are Temporary Help Agencies Changing Mobility Patterns In The Spanish Labour Market?," Business Economics Working Papers wb035513, Universidad Carlos III, Departamento de Economía de la Empresa.
  2. Machin, Stephen & Manning, Alan, 1996. "Employment and the Introduction of a Minimum Wage in Britain," Economic Journal, Royal Economic Society, vol. 106(436), pages 667-76, May.
  3. James J. Heckman & Christopher J. Flinn, 1982. "New Methods for Analyzing Structural Models of Labor Force Dynamics," NBER Working Papers 0856, National Bureau of Economic Research, Inc.
  4. Carrasco, Raquel, 1999. " Transitions to and from Self-employment in Spain: An Empirical Analysis," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 61(3), pages 315-41, August.
  5. Farber, Henry S, 1994. "The Analysis of Interfirm Worker Mobility," Journal of Labor Economics, University of Chicago Press, vol. 12(4), pages 554-93, October.
  6. Juan J. Dolado & Florentino Felgueroso & Juan F. Jimeno, . "The effects of minimum bargained wages on earnings: Evidence from Spain," Working Papers 97-04, FEDEA.
  7. Bruce D. Meyer, 1988. "Unemployment Insurance And Unemployment Spells," NBER Working Papers 2546, National Bureau of Economic Research, Inc.
  8. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
  9. Francine D. Blau & Lawrence M. Kahn, 1994. "International Differences in Male Wage Inequality: Institutions versus Market Forces," NBER Working Papers 4678, National Bureau of Economic Research, Inc.
  10. Sue Fernie & David Metcalf, 1996. "Low Pay And Minimum Wages: The British Evidence," CEP Special Papers 02, Centre for Economic Performance, LSE.
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