Revisiting the German Wage Structure

Revisiting the German Wage Structure PDF Author: Benjamin Bruns
Publisher: GRIN Verlag
ISBN: 3656486913
Category : Business & Economics
Languages : en
Pages : 46

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Book Description
Seminar paper from the year 2013 in the subject Economics - Job market economics, grade: 1,0, Humboldt-University of Berlin (Angewandte Mikroökonometrie / Arbeitsmarktökonomik), course: Topics in Labour Economics, language: English, abstract: Using a large administrative data set, a recent study by Dustmann, Ludsteck, and Schönberg [2009] finds convincing evidence for rising wage inequality in West Germany during the past three decades. Their paper shows that the increase occurred above the median during the 1980s, and was augmented by rising inequality below the median in the 1990s. These results challenge the pervasive conception of the German wage structure being a paragon of stability. Within the scope of this seminar paper, I replicate parts of their analysis using a different data set, namely the German Socio-Economic Panel (GSOEP) for the period from 1984 to 2009. Using monthly and hourly earnings constructs, I assess the extent to which the results of Dustmann, Ludsteck, and Schönberg [2009] can be recovered from GSOEP data. I do so by exploring the wage distribution along several dimensions. In addition to this, I analyze composition-constant counterfactual wage densities using the kernel density reweighting method advanced by DiNardo, Fortin, and Lemieux [1996]. A provisional evaluation of my results suggests that I can confirm the majority of findings of the original paper along a qualitative dimension. A quantitative assessment, however, reveals considerable deviations.

The Unbearable Stability of the German Wage Structure

The Unbearable Stability of the German Wage Structure PDF Author: Eswar Prasad
Publisher: International Monetary Fund
ISBN:
Category : Business & Economics
Languages : en
Pages : 70

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Book Description
The objective of this paper is to document the evolution of the German wage structure over the period 1984-97. The paper also investigates the roles of various factors that could have influenced patterns of changes in the wage structure. While a documentation of the evolution of the wage structure in Germany is interesting in its own right, the analysis in this paper, by facilitating comparisons with changes in the wage structures of other industrial countries, could potentially provide important clues to understanding the poor functioning of the German labor market in recent years. In particular, the analysis sheds light on the reasons behind and possible solutions for a particularly troubling problem, the high and rising rate of nonemployment among low-skilled workers.

Revisiting the German Wage Structure

Revisiting the German Wage Structure PDF Author: Benjamin Bruns
Publisher: GRIN Verlag
ISBN: 3656486913
Category : Business & Economics
Languages : en
Pages : 46

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Book Description
Seminar paper from the year 2013 in the subject Economics - Job market economics, grade: 1,0, Humboldt-University of Berlin (Angewandte Mikroökonometrie / Arbeitsmarktökonomik), course: Topics in Labour Economics, language: English, abstract: Using a large administrative data set, a recent study by Dustmann, Ludsteck, and Schönberg [2009] finds convincing evidence for rising wage inequality in West Germany during the past three decades. Their paper shows that the increase occurred above the median during the 1980s, and was augmented by rising inequality below the median in the 1990s. These results challenge the pervasive conception of the German wage structure being a paragon of stability. Within the scope of this seminar paper, I replicate parts of their analysis using a different data set, namely the German Socio-Economic Panel (GSOEP) for the period from 1984 to 2009. Using monthly and hourly earnings constructs, I assess the extent to which the results of Dustmann, Ludsteck, and Schönberg [2009] can be recovered from GSOEP data. I do so by exploring the wage distribution along several dimensions. In addition to this, I analyze composition-constant counterfactual wage densities using the kernel density reweighting method advanced by DiNardo, Fortin, and Lemieux [1996]. A provisional evaluation of my results suggests that I can confirm the majority of findings of the original paper along a qualitative dimension. A quantitative assessment, however, reveals considerable deviations.

Changes in the German Wage Structure

Changes in the German Wage Structure PDF Author: Martin Biewen
Publisher:
ISBN:
Category :
Languages : en
Pages : 66

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Book Description
This paper provides a comprehensive assessment of the quantitative importance of the factors associated with the rise in male wage inequality in Germany over the period 1995-2010. In contrast to most previous contributions, we rely on the German Structure of Earnings Surveys (GSES) which allow us to focus on hourly wages (rather than daily earnings) uncensored by the social security contributions threshold. We consider a large number of covariates including personal characteristics, measures of internationalization, task composition, union coverage, industry, region, and firm characteristics. Our results suggest that recent changes in the distribution of hourly wages in Germany look different from the polarizing patterns found for the US, and that most of the observed rise in inequality was associated with compositional effects of de-unionization and personal characteristics. We also find some moderate effects linked to internationalization, firm heterogeneity and regional convergence, but these were much smaller.

The Rise of Domestic Outsourcing and the Evolution of the German Wage Structure

The Rise of Domestic Outsourcing and the Evolution of the German Wage Structure PDF Author: Deborah Goldschmidt
Publisher:
ISBN:
Category : Contracting out
Languages : en
Pages : 52

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Book Description
The nature of the relationship between employers and employees has been changing over the last three decades, with firms increasingly relying on contractors, temp agencies, and franchises rather than hiring employees directly. We investigate the impact of this transformation on the wage structure by following jobs that are moved outside of the boundary of lead employers to contracting firms. For this end we develop a new method for identifying outsourcing of food, cleaning, security, and logistics services in administrative data using the universe of social security records in Germany. We document a dramatic growth of domestic outsourcing in Germany since the early 1990s. Event-study analyses show that wages in outsourced jobs fall by approximately 10 - 15% relative to similar jobs that are not out-sourced. We find evidence that the wage losses associated with outsourcing stem from a loss of firm-specific rents, suggesting that labor cost savings are an important reason why firms choose to contract out these services. Finally, we tie the increase in outsourcing activity to broader changes in the German wage structure, in particular, showing that outsourcing of cleaning, security, and logistics services alone accounts for around 9 percent of the increase in German wage inequality since the 1980s.

Evolution of the East German Wage Structure

Evolution of the East German Wage Structure PDF Author: Eduard Brüll
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description
We analyze the evolution of the wage structure in East Germany over the past two decades and compare it to West Germany. Both regions experienced a rise in wage inequality between 1995 and 2009 with wage dispersion in East Germany exceeding West Germany, esp. at the top. We also show that wage inequality is no longer rising in Germany and has even been declining in East Germany after 2009. Compositional changes of the workforce and selection along the employment margin play only a minor role as does the decline of union coverage for the rise in wage inequality. The adoption of minimum wages in selected industries, in contrast, explains all of the turnaround in East German wage inequality after 2009. Demand side changes seem to account for the rise in wage dispersion at the top.

Can a Task-based Approach Explain the Recent Changes in the German Wage Structure?

Can a Task-based Approach Explain the Recent Changes in the German Wage Structure? PDF Author: Dirk Antonczyk
Publisher:
ISBN:
Category :
Languages : en
Pages : 40

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Book Description


Rising Wage Dispersion, After All! The German Wage Structure at the Turn of the Century

Rising Wage Dispersion, After All! The German Wage Structure at the Turn of the Century PDF Author: Karsten Kohn
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description
Using register data from the IAB employment sample, this paper studies the wage structure in the German labor market throughout the years 1992-2001. Wage dispersion has generally been rising. The increase was more pronounced in East Germany and occurred predominantly in the lower part of the wage distribution for women and in the upper part for men. Censored quantile wage regressions reveal diverse age and skill patterns. Applying Machado/Mata (2005)-type decompositions I conclude that differences in the composition of the work force only had a small impact on the observed wage differentials between East and West Germany, but changes in the characteristics captured better parts of the observed wage changes over time.

All Things Being Equal?

All Things Being Equal? PDF Author: Benjamin Bruns
Publisher: GRIN Verlag
ISBN: 3656486921
Category : Business & Economics
Languages : en
Pages : 67

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Book Description
Master's Thesis from the year 2013 in the subject Leadership and Human Resources - Miscellaneous, grade: 1,1, Humboldt-University of Berlin (Angewandte Mikroökonometrie / Arbeitsmarktökonomik), language: English, abstract: Working time and wages represent two elementary components of economic welfare. Yet, in spite of both having witnessed signi cant changes during recent decades, economists have expended far greater efforts on probing changes in the structure of wages than on exploring trends in the composition of working hours. Using data from the German Socio-Economic Panel for the period from 1984 to 2009, my thesis sets out to do three things: firstly, to document recent changes in the distribution of hours; secondly, to describe the related trends in part-time employment; and thirdly, to elaborate on the interrelation between hours, wages, and incomes. My results show a protracted decline of average hours that materialises next to a growing diversication of working time between and within different groups of the labour market. I find a secular expansion of part-time work that has accomodated a surge of female employment, and appealed to young and low-skilled workers alike. Due to a persistently high share of full-time work among men, male income inequality is extensively shaped by changes in the distribution of wages. Among women, where part-time arrangements are common, both hours and wages exert a commensurate impact on the distribution of incomes. Restricting attention to full-time workers removes any variation of hours over time.

Revisiting the German Wage Structure

Revisiting the German Wage Structure PDF Author:
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description


Can a Task-based Approach Explain the Recent Changes in the German Wage Structures

Can a Task-based Approach Explain the Recent Changes in the German Wage Structures PDF Author: Dirk Antonczyk
Publisher:
ISBN:
Category :
Languages : en
Pages : 0

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Book Description