Konferenzbeitrag

Unequal Pay or Unequal Employment? What Drives the Skill-Composition of Labor Flows in Germany?

This paper examines the determinants of gross labour flows in a context where modeling the migration decision as a wage-maximizing process may be inadequate due to regional wage rigidities that result from central wage bargaining. In such a context, the framework that has been developed by Borjas et al. (1992) on the selectivity of internal migrants with respect to skills has to be extended to allow migrants to move to regions that best reward their skills in terms of both wages and employment. The extended framework predicts skilled workers to be disproportionately attracted to regions with higher mean wages and employment rates as well as higher regional wage and employment inequalities. Estimates from a labour flow fixed effects model and a GMM estimator show that these predictions hold, but only the effects for mean employment rates and employment inequality are robust and significant. The paper may thus be able to explain why earlier attempts to explain skill selectivity in Europe within a pure wage-based approach failed to replicate the US results.

Sprache
Englisch

Erschienen in
Series: Beiträge zur Jahrestagung des Vereins für Socialpolitik 2012: Neue Wege und Herausforderungen für den Arbeitsmarkt des 21. Jahrhunderts - Session: Local Labor Markets and Migration ; No. A01-V1

Klassifikation
Wirtschaft
Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
Wage Level and Structure; Wage Differentials
Geographic Labor Mobility; Immigrant Workers

Ereignis
Geistige Schöpfung
(wer)
Arntz, Melanie
Gregory, Terry
Lehmer, Florian
Ereignis
Veröffentlichung
(wann)
2012

Handle
Letzte Aktualisierung
20.09.2024, 08:25 MESZ

Datenpartner

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Objekttyp

  • Konferenzbeitrag

Beteiligte

  • Arntz, Melanie
  • Gregory, Terry
  • Lehmer, Florian

Entstanden

  • 2012

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