Institutions and Wage Determination: a Multi-country Approach

Luca Nunziata ()

Oxford Bulletin of Economics and Statistics, 2005, vol. 67, issue 4, pages 435-466

Abstract: We present an empirical analysis of the determinants of labour cost in OECD countries, with particular reference to the impact of labour market institutions from 1960 to 1994. We show that labour market regulations can explain a large part of the labour cost rise in OECD countries in the last few decades once we control for productivity. These results are consistent with the findings of a companion paper [Nickell, Nunziata and Ochel (2005) "Economic Journal", Vol. 115, pp. 1-27] where the effects of institutions on unemployment are examined. We present also a discussion of the econometric issues related to the estimation of a macro pooled model like ours. We focus, among other things, on the hypothesis of poolability and on the cointegration properties of the model. The explanatory power of the model is finally tested by means of a series of country by country dynamic simulations. Copyright 2005 Blackwell Publishing Ltd.

Date: 2005
References: Add references at CitEc
Citations View citations in EconPapers (28) Track citations by RSS feed

Downloads: (external link)
http://www.blackwell-synergy.com/servlet/useragent ... &year=2005&part=null link to full text (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Institutions and Wage Determination: A Multi-Country Approach (2002)
Working Paper: Institutions and Wage Determination: a Multi-Country Approach (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:bla:obuest:v:67:y:2005:i:4:p:435-466

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0305-9049

Access Statistics for this article

Oxford Bulletin of Economics and Statistics is edited by Christopher Adam, Anindya Banerjee, Christopher Bowdler, David Hendry, Adriaan Kalwij, John Knight and Jonathan Temple

More articles in Oxford Bulletin of Economics and Statistics from Department of Economics, University of Oxford
Contact information at EDIRC.
Series data maintained by Wiley-Blackwell Digital Licensing ().