Sticky wages: Evidence from quarterly microeconomic data

Using an original micro-dataset from France, we investigate nominal wage stickiness. Nominal wage changes are found to occur at a quarterly frequency of around 38 percent over our sample period, and to be to a large extent staggered across establishments, and very synchronized within establishments....

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Main Authors: Le Bihan, Herve, Montornès, J., Heckel, T.
Format: Journal Article
Published: 2012
Online Access:http://hdl.handle.net/20.500.11937/55841
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author Le Bihan, Herve
Montornès, J.
Heckel, T.
author_facet Le Bihan, Herve
Montornès, J.
Heckel, T.
author_sort Le Bihan, Herve
building Curtin Institutional Repository
collection Online Access
description Using an original micro-dataset from France, we investigate nominal wage stickiness. Nominal wage changes are found to occur at a quarterly frequency of around 38 percent over our sample period, and to be to a large extent staggered across establishments, and very synchronized within establishments. We carry out an econometric analysis of wage changes based on a two-threshold sample selection model. Our results are that the timing of wage adjustments is time-dependent as opposed to state-dependent, there is evidence of predetermination in wage changes, and both backward and forwardlooking behavior is relevant in wage setting.
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spelling curtin-20.500.11937-558412018-03-29T09:09:01Z Sticky wages: Evidence from quarterly microeconomic data Le Bihan, Herve Montornès, J. Heckel, T. Using an original micro-dataset from France, we investigate nominal wage stickiness. Nominal wage changes are found to occur at a quarterly frequency of around 38 percent over our sample period, and to be to a large extent staggered across establishments, and very synchronized within establishments. We carry out an econometric analysis of wage changes based on a two-threshold sample selection model. Our results are that the timing of wage adjustments is time-dependent as opposed to state-dependent, there is evidence of predetermination in wage changes, and both backward and forwardlooking behavior is relevant in wage setting. 2012 Journal Article http://hdl.handle.net/20.500.11937/55841 10.1257/mac.4.3.1 restricted
spellingShingle Le Bihan, Herve
Montornès, J.
Heckel, T.
Sticky wages: Evidence from quarterly microeconomic data
title Sticky wages: Evidence from quarterly microeconomic data
title_full Sticky wages: Evidence from quarterly microeconomic data
title_fullStr Sticky wages: Evidence from quarterly microeconomic data
title_full_unstemmed Sticky wages: Evidence from quarterly microeconomic data
title_short Sticky wages: Evidence from quarterly microeconomic data
title_sort sticky wages: evidence from quarterly microeconomic data
url http://hdl.handle.net/20.500.11937/55841