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Salaires et taux de chômage local

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  • Christian Gianella

Abstract

The purpose of this article is to examine how the formation of wages is influenced by the situation of the local labour market. We do this by estimating the wage curve. This highlights a negative and convex relation between someone's real wage and the unemployment rate in his employment catchment area. Although in line with the conclusions of Blanchflower and Oswald (1994), the correlation is weaker in France than in other countries, fluctuating between 0.02 and 0.05 (depending on the chosen specifications). Lastly, cross-sectional estimates reveal elasticities that are significantly higher than average but decrease over time, which may signal a structural change in wage relations or an increase in wage mobility.

Suggested Citation

  • Christian Gianella, 2002. "Salaires et taux de chômage local," Economie & Prévision, La Documentation Française, vol. 155(4), pages 1-12.
    • Handle: RePEc:cai:ecoldc:ecop_155_0001
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