Technology and Labor Regulations

  title={Technology and Labor Regulations},
  author={Alberto F. Alesina and Joseph Zeira},
  journal={NBER Working Paper Series},
  • Alberto F. Alesina, Joseph Zeira
  • Published 2006
  • Economics
  • NBER Working Paper Series
  • Many low skilled jobs have been substituted away for machines in Europe, or eliminated, much more so than in the US, while technological progress at the "top", i.e. at the high-tech sector, is faster in the US than in Europe. This paper suggests that the main difference between Europe and the US in this respect is their different labor market policies. European countries reduce wage flexibility and inequality through a host of labor market regulations, like binding minimum wage laws, permanent… CONTINUE READING
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