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Estimating the Wage Premium of Collective Wage Contracts: Evidence from Longitudinal Linked Employer-Employee Data

Gürtzgen, Nicole



Abstract

Using a large-scale linked employer-employee dataset from western Germany, this paper presents new evidence on the wage premium of collective bargaining contracts. In contrast to previous studies, we seek to assess the extent to which differences in wages between workers in covered and uncovered firms arise from the nonrandom selection of workers and firms into collective bargaining coverage. By ...

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