A Regional Analysis of Wage Determination in Poland

Fiona Duffy and Patrick Paul Walsh

LICOS Discussion Papers from LICOS - Centre for Institutions and Economic Performance, KU Leuven

Abstract: A simple model of wage setting and restructuring predicts that the average wage level in a regional labour market in Poland, among other factors, will be negatively related to the unemployment rate and positively related to the degree of regional restructuring. As in Blanchflower and Oswald (1994), the estimated unemployment elasticity of pay across regions is approximately - 0.1. Workers in low unemployment regions earn more pay indicating the presence of profit sharing. Workers in more restructured regions are shown to receive higher premiums in pay indicating compensation for exposure to risk during restructuring.

Keywords: Wage Determination; Unemployment; Restructuring and Polish Regions (search for similar items in EconPapers)
JEL-codes: J6 L0 O5 (search for similar items in EconPapers)
Pages: 29 pages
Date: 2000
New Economics Papers: this item is included in nep-lab, nep-mfd and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Persistent link: https://EconPapers.repec.org/RePEc:lic:licosd:8700

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