Deutschland , Arbeitslosigkeit , Lohn , Dezentralisation
Abstract:
In order to reduce unemployment, it is often recommended that industry-level wage bargaining in Germany should be replaced by a more decentralized system. This paper provides a critical assessment of the current wage bargaining institutions and reexamines the case for a more decentralized system. Based on a theoretical model integrating Insider-Outsider aspects into the comparison, the uniformly superior employment performance of a decentralized wage bargaining system is questioned. We conclude that, rather tha solely trying to decentralize wage bargaining, a promising policy option may be to improve the skills of the unemployment by efficient labour market policies and to foster institutional reforms such that wage bargaining takes account of the long-run employment consequences of wage setting.
Additional information:
Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.
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