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The influence of labour market institutions on job complexity

  • Amine, Samir
  • Lages Dos Santos, Pedro

This article aims to understand how public policies affect the behavior of agents in terms of selectivity. In other words, we explain how the state of the labour market and, in particular the qualification level of workers, affects the technological choices of firms. Using a matching model in which workers are vertically differentiated and where the nature of jobs is endogenous, we show that an increase in unemployment benefits or in minimum wage can enhance the recruiting of skilled workers by making firms more selective and jobs more complex.

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Article provided by Elsevier in its journal Research in Economics.

Volume (Year): 65 (2011)
Issue (Month): 3 (September)
Pages: 209-220

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Handle: RePEc:eee:reecon:v:65:y:2011:i:3:p:209-220
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/622941

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  12. Francis Kramarz & Thomas Philippon, 2000. "The Impact of Differenctial Payroll Tax Subsidies on Minimum Wage Employment," Working Papers 2000-10, Centre de Recherche en Economie et Statistique.
  13. Marco Manacorda & Barbara Petrongolo, 1996. "Skill Mismatch and Unemployment in OECD Countries," CEP Discussion Papers dp0307, Centre for Economic Performance, LSE.
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  16. Krugman, Paul, 1993. "Inequality and the Political Economy of Eurosclerosis," CEPR Discussion Papers 867, C.E.P.R. Discussion Papers.
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  19. Acemoglu, Daron, 1997. "Why Do New Technologies Complement Skills? Directed Technical Change and Wage Inequality," CEPR Discussion Papers 1707, C.E.P.R. Discussion Papers.
  20. Daron Acemoglu & Robert Shimer, 1999. "Productivity Gains from Unemployment Insurance," NBER Working Papers 7352, National Bureau of Economic Research, Inc.
  21. Bound, John & Johnson, George, 1992. "Changes in the Structure of Wages in the 1980's: An Evaluation of Alternative Explanations," American Economic Review, American Economic Association, vol. 82(3), pages 371-92, June.
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  27. Samir Amine & Pedro Lages Dos Santos, 2010. "Technological choices and unemployment benefits in a matching model with heterogenous workers," Journal of Economics, Springer, vol. 101(1), pages 1-19, September.
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