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Skills, Wages and Employment in East and West Germany

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  • Felix Fitzroy
  • Michael Funke

Abstract

FITZROY F. and FUNKE M. (1998) Skills, wages and employment in east and west Germany, Reg. Studies 32 , 459-467. Disaggregated data from 28 two-digit manufacturing industries in the east and west parts of unified Germany are used to estimate employment for three skill categories of blue collar workers. Employment elasticities are uniformly higher for unskilled labour. The results contradict union claims that wages had little relevance for east German job losses, and confirm the capitalskill complementarity hypothesis. FITZROY F. et FUNKE M. (1998) Competences, salaires et emploi dans l'est et l'ouest de l'Allemagne, Reg. Studies 32 , 459-467. A partir des donnees decomposees provenant de vingt-huit industries a deux chiffres situees dans l'est et l'ouest de l'Allemagne unifiee, on fait une estimation de l'emploi pour trois categories de competences des ouvriers. Les elasticites de l'emploi s'averent uniformement plus elevees pour les ouvriers non-qualifies. Les resultats contredisent les declarations des syndicats selon lesquelles les salaires ont peu d'interet avec les suppressions d'emplois dans l'est de l'Allemagne, et viennent a l'appui de l'hypothese qui prone la complementarite du capital et des competences. FITZROY F. und FUNKE M. (1998) Qualifikation, Lohne und Erwerbstatigkeit in Ost- und Westdeutschland, , Reg. Studies 32 , 459-467. Es werden getrennte Daten von 28 zweistelligen herstellenden Industrien in den ostlichen und westlichen Teilen des vereinigten Deutschland dazu benutzt, Erwerbstatigkeit fur drei Qualifikationsstufen zu schatzen. Die Beschaftigungselastizitat ist durchweg hoher bei ungelernten Arbeitern. Die Ergebnisse widerlegen die Behauptungen der Gewerkschaften, dass zwischen Lohnen und Stellenverlusten in Ostdeutschland wenig Beziehung besteht und bestatigen die Hypothese deskomplimentaren Verhaltens von Kapital und Fahigkeiten.

Suggested Citation

  • Felix Fitzroy & Michael Funke, 1998. "Skills, Wages and Employment in East and West Germany," Regional Studies, Taylor & Francis Journals, vol. 32(5), pages 459-467.
    • Handle: RePEc:taf:regstd:v:32:y:1998:i:5:p:459-467
    DOI: 10.1080/00343409850116853
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    References listed on IDEAS

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