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Efficiency wage and union effects in labor demand and wage structure in Mexico - An application of quantile analysis (Английский)

Applying quantile analysis to detailed firm-level data from Mexico, the authors study determinants of demand and wages for two classes of labor. Unions appear to have a strong impact on how much unskilled labor is employed but not on wages. This suggests an extreme example of "monopoly union" behavior. The impact on productivity is, by definition, negative, but unions could also be said to be forcing firms to use "appropriate technology" (less capital...
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