Decentralized wage bargaining may not boost employment after all
The article talks about the idea of changing how industries in Germany decide on wages to reduce unemployment. The researchers looked at whether moving away from a centralized system to a more spread-out one would actually create more jobs. They found that switching to a decentralized system may not always lead to better employment rates. They suggest that instead of only changing how wages are set, it might be better to help unemployed people learn new skills and make changes to the bargaining process to think about the long-term effects on jobs.