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Rent Sharing and Bargaining Levels: Evidence from Italy

Author

Listed:
  • Barbara Pistoresi

    () (University of Modena and Reggio Emilia)

  • Chiara Strozzi

    () (University of Modena and Reggio Emilia)

Abstract

This paper studies the extent of rent sharing in the Italian metal- mechanical industry by analyzing separately what occurs at each stage of wage negotiations. In particular, we evaluate how, through the bargaining process, aggregate and idiosyncratic productivity shocks influence respectively centralized and decentralized wage negotiations. It turns out that while centralized agreements generate rent sharing, at the decentralized bargaining level this phenomenon is absent.

Suggested Citation

  • Barbara Pistoresi & Chiara Strozzi, 2003. "Rent Sharing and Bargaining Levels: Evidence from Italy," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 62(2), pages 145-170, October.
  • Handle: RePEc:gde:journl:gde_v62_n2_p145-170
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    References listed on IDEAS

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    Cited by:

    1. Ilan Tojerow, 2008. "Industry Wage Differentials Rent Sharing and Gender in Belgium," Reflets et perspectives de la vie économique, De Boeck Université, vol. 0(3), pages 55-65.
    2. Bratti, Massimiliano & Leombruni, Roberto, 2009. "Local Human Capital Externalities and Wages at the Firm Level: The Case of Italian Manufacturing," IZA Discussion Papers 4613, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    two-stage bargaining; rent sharing; dynamic factor model; dynamic correlation analysis;

    JEL classification:

    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General

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