Insiders and Outsiders in Wage Formation: The Dutch Case
In this paper the relevance of the insider-outsider theory is investigated for the Netherlands. Estimation results of a macro wage equation show that the insider-outsider distinction has some empirical relevance, because the pay-off rate has a significant negative influence on wages. However, the extreme insider-outsider model is rejected, because wages are also found to be significantly negatively related to the rate of long-term unemployment.
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Volume (Year): 17 (1992)
Issue (Month): 4 ()
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