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This paper examines two competing explanations for workers' absenteeism, the shirking hypothesis and the adjustment-to-equilibrium hypothesis. Data on German workers for 1985–88 from the German SocioEconomic Panel are used in order to estimate the determinants of workers' absenteeism. The results indicate that firm size matters after wage effects are controlled for. This evidence supports the shirking hypothesis.
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Rainer Winkelmann (1999) studied this question.
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