Flexible outsourcing and the impacts of labour taxation in European welfare states
"In European Welfare States, low-skilled workers are typically unionized, while the wage formation of high-skilled workers is more competitive. To focus on this aspect, we analyze how flexible international outsourcing and labour taxation affect wage formation, employment and welfare in dual do...
Main Authors: | , |
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Institution: | ETUI-European Trade Union Institute |
Format: | TEXT |
Language: | English |
Published: |
Munich
2008
CESifo |
Subjects: | |
Online Access: | https://www.labourline.org/KENTIKA-19180709124919089819-Flexible-outsourcing-and-the-i.htm |
_version_ | 1771659893158182913 |
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author | Koskela, Erkki Poutvaara, Panu |
author_facet | Koskela, Erkki Poutvaara, Panu |
collection | Library items |
description | "In European Welfare States, low-skilled workers are typically unionized, while the wage formation of high-skilled workers is more competitive. To focus on this aspect, we analyze how flexible international outsourcing and labour taxation affect wage formation, employment and welfare in dual domestic labour markets. Higher productivity of outsourcing, lower cost of outsourcing and lower factor price of outsourcing increase wage dispersion between the high-skilled and low-skilled workers. Increasing wage tax progression of lowskilled workers decreases the wage rate and increases the labour demand of low-skilled workers. It decreases the welfare of low-skilled workers and increases both the welfare of high-skilled workers and the profit of firms." |
format | TEXT |
geographic | EU countries |
id | 19180709124919089819_8ac63992a22c48a19a65b5402307602c |
institution | ETUI-European Trade Union Institute |
is_hierarchy_id | 19180709124919089819_8ac63992a22c48a19a65b5402307602c |
is_hierarchy_title | Flexible outsourcing and the impacts of labour taxation in European welfare states |
language | English |
physical | 37 p. Digital |
publishDate | 2008 |
publisher | Munich CESifo |
spellingShingle | Koskela, Erkki Poutvaara, Panu labour flexibility outsourcing taxation wage rate welfare state Flexible outsourcing and the impacts of labour taxation in European welfare states |
thumbnail | https://www.labourline.org/Image_prev.jpg?Archive=117171393535 |
title | Flexible outsourcing and the impacts of labour taxation in European welfare states |
topic | labour flexibility outsourcing taxation wage rate welfare state |
url | https://www.labourline.org/KENTIKA-19180709124919089819-Flexible-outsourcing-and-the-i.htm |