Article Abstract:
Highly centralized economies, such as those of Austria and Sweden, have historically had better results than current European Community members. The benefits of centralized wage-fixing systems include improved social consensus and income equality and better trade-offs between wage inflation and unemployment. The likelihood is that the EC will move towards a weak form of centralization, or even decentralization, which may result in poor economic performance, although a more corporatist wage bargaining system would be preferable.
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Article Abstract:
The pay differential between men and women in the UK, Germany and Italy have changed since the European Community adopted the 1975 Directive on equal pay. Flat-rate indexation and national bargaining have led to a narrowing of pay differentials in Italy, while, in the UK, more individualized pay systems and disunited bargaining have resulted in no improvement in female-to-male earning ratios. The establishment of labor standards and regulation is more likely to help women than the ineffective equal pay Directive.
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Article Abstract:
The development of the Social Charter since its endorsement in Dec 1989, the more important policy mechanisms, and the progress of the Action Program adopted in Nov 1989 are discussed. The likely economic effects of the Social Charter include an imposed harmful uniformity within the community, social inequality and a curb on economic efficiency. Firms will make countervailing moves that will hamper redistribution to disadvantaged groups.
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