Collective Bargaining and Wage Formation (eBook)

Preface and Acknowledgements 6
Contents 7
Introduction and Summary 10
1 The Basic Issues 10
2 The Articles in this Volume 12
References 17
International Product Market Integration and Wage Bargaining 18
Abstract 18
1 Introduction 18
2 Trends in Integration 21
3 Intra-lndustrial Trade and Wage Formation 25
4 Risk and Insurance 38
5 Concluding Remarks 40
References 41
Comment on Torben M. Andersen's Paper 44
References 46
Wage Formation under Low Inflation 48
Abstract 48
1 Introduction 48
2 The Effect of Downward Nominal Wage Rigidity ( DNWR) 50
3 The Effect of Inflation on Staggered Nominal Wage Contracts 56
4 Incomplete Labour Contracts and Nominal Wage Growth 57
5 Multi-Level Bargaining and the Co-ordination of Wage Setting 58
6 Near-Rational Wage and Price Setters 59
7 Empirical Evidence 59
8 Will Society Adapt? 61
9 Concluding Remarks 63
References 63
Comment on Steinar Holden's Paper 68
The Finnish Bargaining System: Actors' Perceptions 70
Abstract 70
1 Introduction 71
2 The Finnish Wage Bargaining System 72
3 Central Results of the Survey 74
4 Conclusions 91
References 92
Productivity, Incentives and Relative Wages 94
Abstract 94
1 Introduction 95
2 Productivity and Wage Distribution in Finland in Comparison to the US 97
3 A Model of Labour Market Regulation and Relative Wages 99
4 Incentives and Wage Formation 103
5 A Note on Incentives, Individual Effort and Wage Bargaining 107
References 110
Local Bargaining and Employers' Co-operation Options 112
Abstract 112
1 Introduction 112
2 Data and Methods 113
3 Employers' Desire for Local Bargaining 117
4 Concluding Remarks 126
References 127
Appendix 127
Do Centralized Bargains Lead to Wage Moderation? Time- Series Evidence from Finland 130
Abstract 130
1 Motivation 130
2 Empirical Results 133
3 Discussion 140
References 141
Finnish Wage Bargaining - Actual Behaviour and Preferences 142
Abstract 142
1 Introduction 142
2 The Choice of Bargaining Level 143
3 Actual Behaviour in Past Decades 146
4 Opinions on Bargaining and Their Relation to Earlier Behaviour 152
5 Conclusion 158
References 159
Is the Labour Share Too Low in Finland? 162
Abstract 162
1 Introduction 162
2 Equilibrium Labour Income Share ( ELIS) 164
3 ELIS in Finland: The Importance of Relative Prices 166
4 ELIS in Finland: The Importance of Labour-Saving Technical Change 168
5 ELIS and Imperfect Competition in the Product Market 169
6 ELIS and NAIRU 171
7 What Was the Situation in 2001 ? 173
References 177
Bargaining on Pensions: The Finnish Pension Reform of 2001- 2002 178
Abstract 178
1 Introduction 178
2 The Finnish Pension System and the Role of the Social Partners 179
3 Effects of the 2001-2002 Pension Reform 182
4 Concluding Remarks 190
References 190
Appendix: FOG Model 191