FLEXIBILIDAD O RIGIDEZ SALARIAL EN ESPA A?: UN ANáLISIS A ESCALA REGIONAL

In this article we analyse the wage flexibility in Spain from a regional standpoint. For this purpose, we develop a nonparametric approach to show the connexion between regional wages and unemployment rates, and regional wages and productivities. Later, a new technique is applied to provide more econometric evidence regarding migratory flows; concretely, we estimate an equation using semiparametric estimation techniques. The general conclusion that we draw in the study is that wage flexibility in Spain is reduced. However, the analysis allows us to find some signs of flexibility; first, wages respond in a negative way to regional unemployment rates growth when labour productivity is low; second, labour productivity growths affects regional wages but only when regional unemployment rates is high.