published in: Labor Markets and Institutions, Santiago: Central Bank of Chile 2005; 281-300
This paper analyses the evolution of quantitative measures of employee rents in Europe
during the nineties, using the European Household Panel Survey. One looks at two class of
measures: wage differentials between workers along industry and firm size dimensions, and
estimated welfare differences between employed and unemployed using a model of labor
market transitions. The results are largely negative; there is robust evidence of falling rents
during that period only in Ireland.
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