Labour, goods and service markets

Post n°301
Published on 01/20/2023

Industry-level wage bargaining for 2022 was impacted by the high inflation context. Over the year, close to 150 industries revised the agreements signed at the end of 2021 or beginning of 2022. Overall, at the end of the year, negotiated wage increases amounted to an average of 5% year-on-year (compared with 3% at the beginning of the year). However, this higher increase in negotiated wages does not, at this stage, point to the start of a wage-price spiral.

Chart 1: Changes in negotiated wages, the national minimum wage, the average wage per capita (adjusted for the effects of the job retention scheme) and inflation (year-on-year, %)
Chart 1: Changes in negotiated wages, the national minimum wage, the average wage per capita (adjusted for the effects of the job retention scheme) and inflation (year-on-year, %)
Post n°296
Published on 12/12/2022

By Pierre-Emmanuel Caplet - 2nd prize in the 2022 Eco Notepad competition - Masters student at Paris-Saclay Ecole Normale Supérieure (ENS)

Despite the pandemic’s abatement, teleworking seems to be holding steady. This new working arrangement could have several consequences for the labour market: reduced business costs; greater worker flexibility; more rapid digitalisation; and new geographical and sectoral dynamics.

Chart 1: Teleworking in 2021
Chart 1: Teleworking in 2021 Source: INSEE, Labour Force Survey, 2021. Note: Scope covers France excluding Mayotte, people living in ordinary housing, employees working at least one hour of paid work a week.
Post n°295
Published on 12/12/2022

By Lili Vessereau
1st prize in the 2022 Eco Notepad competition
Second year student for the Master's degree in Corporate & Public Management at Sciences-Po Paris

By shortening the number of days spent on-site at their workplace, teleworking can, under certain conditions, broaden job seekers’ geographical search perimeter. By reducing the rigidities linked to geographical mobility, teleworking could thus contribute to lowering frictional unemployment.

Chart 1: Beveridge curve
Chart 1: Beveridge curve Source: DARES according to INSEE, business survey and employment survey
Post n°288
Published on 10/28/2022

By Barbara Castelleti Font and Véronique Genre

Since 2007, the recurring current account deficits in France have tended to worsen. However, the trade in services balance and the primary income balance, which traditionally show a surplus, have limited or even offset the goods trade deficit, which hit a record high in 2021 due in particular to the energy bill. In 2019 and 2021, France returned to a current account surplus. But the sustainability of this current account surplus is by no means assured.

Chart 1. France: Current account balance (% of GDP) Source: Banque de France and Insee
Post n°279
Published on 07/18/2022

By Camille Macaire and Marie-Élisabeth de la Serve

The Covid crisis has strengthened China’s central role in global value chains. However, the rise in its position in these chains dates back to before the pandemic. It has become particularly closely integrated with ASEAN members, which import a growing share of intermediate goods from China.

Chart 1: China is building new dependencies on its products, especially in ASEAN countries
Chart 1: China is building new dependencies on its products, especially in ASEAN countries Source: OECD Trade in Value Added (TiVA) database. Note: Share of Chinese value added in final demand, manufacturing industry.
Post n°277
Published on 07/05/2022

In a context where industrial jobs may be replaced by robots, this post shows that monetary policy is transmitted differently depending on industrial sectors’ degree of robotisation. Jobs in heavily robotised industries are half as sensitive to an interest rate change as those in low-robotisation industries.

Chart 1: Monetary policy transmission is weakened in heavily robotised industries
Chart 1: Monetary policy transmission is weakened in heavily robotised industries Source: Author’s calculations.
Post n°269
Published on 05/13/2022

So far in 2022, industry-level wage bargaining has generally resulted in wage increases of around 3% compared with rises of close to 1% in recent years. Inflation, which has been higher since the end of 2021, and the recent hike in the national minimum wage (NMW) are contributing to this stronger growth in negotiated wages.

Chart 1: Change in negotiated wages, the NMW and inflation (year-on-year % change)
Chart 1: Change in negotiated wages, the NMW and inflation (year-on-year % change) Source : INSEE (consumer price index – all households, and NMW), Banque de France (300 national, regional and departmental industries – private sector – wage floors).
Post n°267
Published on 04/28/2022

Rich households consume digital goods more intensively than poor households. As digitalisation makes some goods and services cheaper, higher-income households benefit more. Using US household data, this blog argues that the relative price effect of digitalisation is sizeable and amplifies the effects that digitalisation has on income inequality.

Chart 1: ICT intensity of consumption basket along the income distribution in the US
Chart 1: ICT intensity of consumption basket along the income distribution in the US Source: Arvai and Mann (2021) Note: The graph shows the share of information and communication technology (ICT) in the consumption basket by income percentile for different sub-periods.
Post n°259
Published on 03/08/2022

In several sectors, including academic economics, considerable efforts have been made over at least the past two decades to combat gender discrimination. One of the most frequently debated policies over recent years has been positive discrimination. Hiring or promoting an equally qualified woman over a man is argued to have a positive impact on all individuals in the profession as it will reduce prejudice and provide role models for younger women. Despite these efforts, women still appear to be vastly underrepresented amongst researchers in economic and earn far less credit than men for their academic work.

Figure 1: Proportion of female economists according to RePEc
Chart 1: Proportion of female economists according to RePEc Source: RePEc, Female representation in Economics and academic Rankings by country and for the world, as of February 2022.
Post n°258
Published on 03/03/2022

By Cristina Jude, Antoine Lalliard and Pierre Sicsic.

The employment rate in France has exceeded the level reached at end-2019. This is a French particularity. It nevertheless remains low compared to other countries, in particular for young workers and men over 60. Its growth over the past twenty years had been slower than in the other major countries until recently.

Chart 1: Employment rate deviations from Q4 2019
Chart 1: Employment rate deviations from Q4 2019 Source: Eurostat & BLS

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