Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages
We examine the relationship between federal transfers, the existence of a wage premium for the public sector and its effects on private wages in Argentina. The empirical analysis is based on the theoretical presumption that federal fiscal transfers to the different regions are being used to finance...
| Main Authors: | , , , |
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| Format: | Online |
| Language: | eng |
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Instituto de Economía y Finanzas. Facultad de Ciencias Económicas. Universidada Nacional de Córdoba.
2009
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| Subjects: | |
| Online Access: | https://revistas.unc.edu.ar/index.php/REyE/article/view/3864 |
| _version_ | 1811172143324463104 |
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| author | Capello, Marcelo Figueras, Alberto José Freille, Sebastián Moncarz, Pedro E. |
| author_facet | Capello, Marcelo Figueras, Alberto José Freille, Sebastián Moncarz, Pedro E. |
| author_sort | Capello, Marcelo |
| collection | Portal de Revistas |
| description | We examine the relationship between federal transfers, the existence of a wage premium for the public sector and its effects on private wages in Argentina. The empirical analysis is based on the theoretical presumption that federal fiscal transfers to the different regions are being used to finance more public employment therefore discouraging private activity. The results suggest that the public sector pays a wage premium relative to the private sector. This premium is increasing in the level of per capita federal transfers. There is no evidence of an overall positive effect on wages in the private manufacturing sector. However, we find a significant positive relationship between federal transfers and wages paid to workers with less formal education; for jobs requiring a technical or profesional qualification the relationship is negative. These results broadly support the hypothesis that the private sector faces harder competition in the labour market in provinces which receive larger transfers from the central government. |
| format | Online |
| id | oai:ojs.revistas.unc.edu.ar:article-3864 |
| institution | Universidad Nacional de Cordoba |
| language | eng |
| publishDate | 2009 |
| publisher | Instituto de Economía y Finanzas. Facultad de Ciencias Económicas. Universidada Nacional de Córdoba. |
| record_format | ojs |
| spelling | oai:ojs.revistas.unc.edu.ar:article-38642022-04-06T22:46:59Z Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages Transferencias fiscales, prima salarial del sector público y efectos en los salarios privados Capello, Marcelo Figueras, Alberto José Freille, Sebastián Moncarz, Pedro E. inter-governmental transfers labour markets wage premium fiscal policy H77 J31 J45 R11 transferencias intergubernamentales mercados de trabajo premio salarial política fiscal H77 J31 J45 R11 We examine the relationship between federal transfers, the existence of a wage premium for the public sector and its effects on private wages in Argentina. The empirical analysis is based on the theoretical presumption that federal fiscal transfers to the different regions are being used to finance more public employment therefore discouraging private activity. The results suggest that the public sector pays a wage premium relative to the private sector. This premium is increasing in the level of per capita federal transfers. There is no evidence of an overall positive effect on wages in the private manufacturing sector. However, we find a significant positive relationship between federal transfers and wages paid to workers with less formal education; for jobs requiring a technical or profesional qualification the relationship is negative. These results broadly support the hypothesis that the private sector faces harder competition in the labour market in provinces which receive larger transfers from the central government. Se examina la relación entre transferencias federales, la existencia de un premio salarial en el sector público y sus efectos sobre los salarios privadosen Argentina. El análisis empírico se basa en la presunción teórica que las transferencias fiscales desde el gobierno federal se utilizan para financiar mayor empleo público desincentivando la actividad privada. Los resultados sugieren que el sector público paga un premio salarial. Este premio escreciente en el nivel de transferencias por habitante. No hay evidencia deun efecto agregado positivo sobre los salarios privados. Sin embargo se encuentra una relación positiva y significativa entre transferencias y los salarios pagados a trabajadores con menor educación, para trabajos que requieren una calificación técnica ó profesional la relación es negativa. Los resultados apoyan, en general, la hipótesis que el sector privado enfrenta una mayor competencia en los mercados de trabajo en aquellas provincias que reciben mayores transferencias desde el gobierno central. Instituto de Economía y Finanzas. Facultad de Ciencias Económicas. Universidada Nacional de Córdoba. 2009-12-01 info:eu-repo/semantics/article info:eu-repo/semantics/publishedVersion application/pdf https://revistas.unc.edu.ar/index.php/REyE/article/view/3864 10.55444/2451.7321.2009.v47.n2.3864 Revista de Economía y Estadística; Vol. 47 No. 2 (2009); 41-66 Revista de Economía y Estadística; Vol. 47 Núm. 2 (2009); 41-66 2451-7321 0034-8066 10.55444/2451.7321.2009.v47.n2 eng https://revistas.unc.edu.ar/index.php/REyE/article/view/3864/5086 Derechos de autor 2009 Marcelo Capello, Alberto José Figueras, Sebastián Freille, Pedro E. Moncarz http://creativecommons.org/licenses/by-nc-nd/4.0 |
| spellingShingle | inter-governmental transfers labour markets wage premium fiscal policy H77 J31 J45 R11 transferencias intergubernamentales mercados de trabajo premio salarial política fiscal H77 J31 J45 R11 Capello, Marcelo Figueras, Alberto José Freille, Sebastián Moncarz, Pedro E. Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title | Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title_alt | Transferencias fiscales, prima salarial del sector público y efectos en los salarios privados |
| title_full | Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title_fullStr | Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title_full_unstemmed | Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title_short | Fiscal Transfers, Public Sector Wage Premium and the Effects on Private Wages |
| title_sort | fiscal transfers public sector wage premium and the effects on private wages |
| topic | inter-governmental transfers labour markets wage premium fiscal policy H77 J31 J45 R11 transferencias intergubernamentales mercados de trabajo premio salarial política fiscal H77 J31 J45 R11 |
| topic_facet | inter-governmental transfers labour markets wage premium fiscal policy H77 J31 J45 R11 transferencias intergubernamentales mercados de trabajo premio salarial política fiscal H77 J31 J45 R11 |
| url | https://revistas.unc.edu.ar/index.php/REyE/article/view/3864 |
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