Search results for "wage curve"

Public-private sector pay gaps over the business cycle :

2010

Essays on wages, promotions and performance evaluations

2017

This dissertation comprises four empirical research articles that use personnel data from a large university and worker-level panel data from Finland to examine the determinants of wages, promotions and employee performance evaluations. The first article employs personnel data to examine the importance of worker output and job seniority as predictors of employee performance evaluations and promotions. The results suggest that better-performing employees – with output measured both in absolute terms and relative to peers – were more likely to be assigned higher performance grades and had a higher probability of being promoted to more complex jobs than their peers with similar characteristics…

The Wage Curve, Once More with Feeling: Bayesian Model Averaging of Heckit Models

2018

The sensitivity of the wage curve to sample-selection and model uncertainty was evaluated with Bayesian methods. More than 8000 Heckit wage curves were estimated using data from the 2017 household survey of Bolivia. After averaging the estimates with the posterior probability of each model being true, the wage curve elasticity in Bolivia is close to -0.01. This result suggests that in this country the wage curve is inelastic and does not follow the international statistical regularity of wage curves. 

Economics of wage differentials and public sector labour markets

2013

The wage curve and local monopsony power

2019

AbstractUsing longitudinal micro-data from Finland, a country with a geographically dispersed population and relatively long distances between local labor markets, this paper examines the responsiveness of the pay level to local unemployment conditions. In particular, this study tests the hypothesis that the pay level is more responsive to the unemployment level in less agglomerated and more remote regions as might be expected if employers have a higher degree of monopsony power in such regions. The results consistently suggest that the pay level is lower in localities with a higher unemployment level and, hence, provide strong support for the so-called wage curve hypothesis, which predicts…

Public–private sector wage differentials and the business cycle

2013

Abstract This paper uses microeconomic data for the period from 1990 to 2004 to examine the relationship between public–private sector wage differentials and labour market conditions in Finland. The results show that the public sector wage premium is strongly counter-cyclical. On average, a 10 percent increase in the local unemployment rate increases the public–private sector wage gap by one percent. Separate analyses by government sector and quantiles of the distribution of wages reveal that it is local government workers and those working at lower skill levels who benefit more from increasing unemployment rate. The paper also exploits the longitudinal structure of the data to examine whet…