Is the Market Wage the Just Wage?

Is the Economic Growth Regime in Iran Wage-led or Profit-led? 

This study investigates the relationship between factor income distribution and aggregate demand in the context of the Post-Keynesian school, using data from Iran over the period 1346-1393. To this end, profit share and GDP growth are used as proxies for factor income distribution and demand growth, respectively. The results of the cointegration analysis based on the ARDL approach show that pro...

Labour Market Institutions and Wage Inequality

In this paper we investigate the importance of labor market institutions such as unemployment insurance, unions, …ring regulation and minimum wages for the evolution of male wage inequality across countries. We derive a simple log-linear equation of the wage di¤erential as a function of the institutional parameters, total factor productivity, …nal good prices and relative skill supply. Our esti...

Wage Inequality and Entrepreneurship Job Market Paper

This paper provides a theory of wage inequality that hinges on entrepreneurship. The theory is motivated by new empirical findings. Among them, I document that in countries where barriers to entrepreneurship are high, wage inequality is low. As noted in the literature, differences in wage inequality across countries are, to a great extent, determined by differences in the skill premium, defined...

Wage Inequality in a Frictional Labor Market

Wage inequality in the United States has grown substantially in the past two decades. Standard supply-demand analysis in the empirics of inequality (e.g. Katz and Murphy (1992)) indicates that we may attribute some of this trend to an outward shift in the demand for high skilled labor. In this paper we examine a simple static channel in which the wage premium for skill may grow increased firm e...

Immigration, Labor Market and Wage Inequality