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- W3154221243 abstract "Some firms pay higher wages than others for identical workers. To unpack the firm wage premium distribution, I develop and implement a new structural decomposition using datasets that cover the universe of employers and employees in France. Existing research shows that firm wage premia depend on firms' labor productivity and wage-setting power. This paper shows that they also depend on firms' product market power and labor share of production. I find these firm characteristics to be correlated with each other, implying that: (i) without taking the latter set of characteristics into account, workhorse models that generate firm wage premia overestimate the contributions of firms' labor productivity and wage-setting power; (ii) conventional measures of input misallocation overestimate the degree of labor misallocation; (iii) high productivity firms have low labor shares of revenue not only because of greater product market power, but also greater labor market power and low labor shares of production." @default.
- W3154221243 created "2021-04-26" @default.
- W3154221243 creator A5075655678 @default.
- W3154221243 date "2019-01-01" @default.
- W3154221243 modified "2023-09-27" @default.
- W3154221243 title "Wage Determination Across Firms" @default.
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- W3154221243 doi "https://doi.org/10.2139/ssrn.3446088" @default.
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