No. 20/2002
WAGES AND SUBJECTIVE ASSESSMENTS OF REGIONAL
LABOUR MARKET PRESSURE
Fredrik Carlsen
Kåre Johansen
Abstract:
We utilise a rich set of regional labour market variables to explain regional
variation in Norwegian manufacturing wages. In particular, regional indicators
of labour market pressure are computed from survey data in which respondents
are asked to evaluate local job prospects. We find that average reported
satisfaction with local job prospects and other survey-based indicators
perform better in regional wage equations than traditional labour market
variables, including the regional unemployment rate. Our results suggest
that surveys may provide useful information about regional labour markets.
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