firm size-wage differentials

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.

Year of Publication
1990
Number
264
Date Published
05/1990
Publication Language
eng
Citation Key
The Review of Economics and Statistics,Vol. 73, No. 4, November 1991
Schmidt, C., & Zimmermann, K. (1990). Work Characteristics, Firm Size and Wages. Retrieved from http://arks.princeton.edu/ark:/88435/dsp01w95050452 (Original work published May 1990)
Working Papers