A replication note on downward nominal and real wage rigidity: survey evidence from European firms
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This note shows that the models estimated in Babecký et al. (Scand J Econ 112(4):884–910, 2010) do not allow identifying the determinants of downward nominal wage rigidity and provides new empirical evidence on the importance of downward nominal wage rigidity and its determinants in several European countries.
KeywordsBase-wage rigidity Wage freezes Wage cuts Probit model
JEL ClassificationC35 J31 J50
The authors would like to thank Claudia Duarte and Pedro Portugal for helpful discussions and useful suggestions.
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