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IZA Workshop: Wage Inequality, Technology and Institutions

Organizers: Marco Leonardi (University of Milan and IZA), Winfried Koeniger (University of St. Gallen and IZA)
Location:IZA, Bonn
Date:July 02, 2004 - July 03, 2004

Event Manager:

Ulrike Maurer (IZA)

Aim of the Workshop

While inequality increased in Anglo-Saxon economies, there was much less of an increase in many continental European countries. To date, there is no consensus on the reasons of such big differences across otherwise similar economies. Technology, institutions and social norms play a key role in explaining differences in wage inequality across countries and its evolution over time. Recent research suggests that labor market institutions such as the minimum wage, the unions and welfare programs compress the wage structure.
Moreover, institutions interact with technological change and the development of social norms in shaping the structure of wages. The goal of this workshop is to bring together leading international researchers to discuss the most recent theoretical and empirical advances in this research area.


Friday, July 02:

12:20 - 13:20   Lunch
13:20 - 13:30   Welcome
13:30       Session 1: Unions and Wage Inequality
13:30 - 14:30   W. Stanley Siebert (University of Birmingham and IZA*)), John T. Addison (University of South Carolina and IZA), Ralph W. Bailey (University of Birmingham)
  "The Impact of Deunionization on Earnings Dispersion Revisited"
  Discussant: Chinhui Juhn (University of Houston and IZA)
14:30 - 15:30   Björn Brügemann (Vrije Universiteit Amsterdam and IZA*))
  "Unionism, Deunionization and Changing Wage Inequality: Preliminary Evidence"
  Discussant: W. Stanley Siebert (University of Birmingham and IZA)
15:30 - 16:00   Coffee / Tea Break
16:00       Session 2: Institutions, Wage Inequality and the Labor Share
16:00 - 17:00   Winfried Koeniger (University of St. Gallen and IZA*)), Marco Leonardi (University of Milan and IZA), Luca Nunziata (University of Milan and IZA)
  "Labor Market Institutions and Wage Inequality"
  Discussant: Francine D. Blau (Cornell University and IZA)
17:00 - 18:00   Daniele Checchi (University of Milan and IZA*)), Cecilia Garcia Penalosa (CNRS and GREQAM)
  "Labor Shares and the Personal Distribution of Income in the OECD"
  Discussant: Sebastian G. Kessing (University of Siegen)
20:00       Workshop Dinner

Saturday, July 03:

09:30       Session 3: Institutions and Labor Demand
09:30 - 10:30   Lawrence M. Kahn (Cornell University and IZA*)), Giuseppe Bertola (Universita di Torino), Francine D. Blau (Cornell University)
  "Labor Market Institutions and Demographic Employment Patterns"
  Discussant: Stephen Machin (London School of Economics and IZA)
10:30 - 10:45   Coffee / Tea Break
10:45       Session 4: Technology Change and Inequality
10:45 - 11:45   Alan Manning (London School of Economics*)), Maarten Goos (London School of Economics)
  "Lousy and Lovely Jobs: The Rising Polarization of Work in Britain"
  Discussant: Marco Leonardi (University of Milan and IZA)
11:45 - 12:45   José V. Rodriguez Mora (University of Edinburgh*)), John Hassler (Stockholm University and IZA), Joseph Zeira (Hebrew University)
  "Inequality and Mobility"
  Discussant: Winfried Koeniger (University of St. Gallen and IZA)
12:45 - 14:00   Lunch
14:00       Session 5: Wage Inequality, Labor Demand and Search Frictions
14:00 - 15:00   Olivier Pierrard (Central Bank of Luxembourg*))
  "Impacts of Selective Reductions in Labor Taxation"
  Discussant: José V. Rodriguez Mora (University of Edinburgh)
15:00 - 16:00   Tito Boeri (Bocconi University and IZA*)), Michael C. Burda (Humboldt University, Berlin and IZA)
  "Preferences for Rigid versus Individualized Wage Setting in Search Economies with Frictions"
  Discussant: Björn Brügemann (Vrije Universiteit Amsterdam and IZA)
16:00 - 16:30   Coffee / Tea Break
16:30       Session 6: Skill Premiums and Firm Heterogeneity
16:30 - 17:30   Bernd Fitzenberger (Institute for Employment Research (IAB), Nuremberg and IZA*)), Karsten Kohn (University of Frankfurt)
  "Skill Wage Premia, Employment, and Cohort Effects in a Model of German Labor Demand"
  Discussant: David A. Jaeger (University of St. Andrews and IZA)
17:30 - 18:30   Alfonso Rosolia (Bank of Italy*)), Andrea Brandolini (Bank of Italy), Piero Cipollone (Bank of Italy)
  "Unequal Workers or Unequal Firms"
  Discussant: Alexandru Voicu (CUNY - College of Staten Island and IZA)

*) current affiliation


We wish to thank the Anglo-German Foundation for financial support.