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Employees are also entitled to vacation and holiday pay or seasonal bonuses. Payroll deducted insurances, retirement, unemployment insurances and payroll taxes. Some countries[pic]compensation are adjusted for other taxes on payroll and employment [pic] An analysis of the labor quality is a key to determine the international differences in productivity and wages...

This could lead to an explanation of international differences between labor productivity and wages, in those industries. This simple capital-labor model can also lead to false predictions about international labor forces, primarily because labor quality differs over nations. Introducing quality into the analysis leaves one major obstacle, an absence of data measuring the skills of workers in different countries...

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