Title
Work Characteristics, Firm Size and Wages
Author(s)
Christoph M. Schmidt Christoph Schmidt (Princeton University)
Klaus F. Zimmerman Klaus Zimmerman (University of Munich)
Abstract
A positive wage-firm size relationship is well documented in the empirical literature in industrial organization and labor economics. Firm size seems to proxy various unobserved determinants such as job satisfaction, monitoring costs, more complex technologies and worker participation in monopoly profits. It is generally argued that, the greater the possibility of controlling for these latent factors, the less likely that a significant size effect will appear. This paper attempts to distinguish firm size from other wage determinants for a rich data source for West Germany and demonstrates the persistence of the size premium.
Creation Date
1990-05
Section URL ID
IRS
Paper Number
264
URL
https://dataspace.princeton.edu/bitstream/88435/dsp01w95050452/1/264.pdf
File Function
Jel
H19
Keyword(s)
firm size-wage differentials, earnings functions, compulsory wage differentials, work characteristics
Suppress
false
Series
1