Abstract for:
Remuneration Systems
J
Jerger,
J
Michaelis,
March 1995
Paper No' CEPDP0227:
Save Reference as: 
BibTeX File | 
EndNote Import File
Keywords:
JEL Classification:
Is hard copy/paper copy available?
YES - Paper Copy Still In Print.
This Paper is published under the following series:
CEP Discussion Papers
Share:
Google Bookmarks |
Facebook |
Twitter
Abstract:
In this paper we analyse the impact of different remuneration systems on capital formation and employment at the sectoral and at the aggregate level. We show that, in general, the switch from a Fixed Wage Economy to a Share Economy results in a lower NAIRU. This conclusion is derived by aggregation of the outcome of a three stage-bargaining game at the sectoral level, in which capital stock and employment are chosen by the firm and wages (or share parameters) are negotiated between firms and unions.