Wages, Productivity, and Worker Characteristics: A French Perspective

Nicolas Deniau

88 citations0/0 files storedRePEc: Research Papers in Economics

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Labor market dynamics and wage inequality Labour Market and Migration Names, Identity, and Discrimination Research

Abstract

We investigate the relationship between wages, productivity, and worker characteristics using a new exhaustive matched employer‐employee longitudinal dataset for France. Expanding on the methodology originally proposed by Hellerstein, Neumark and Troske (1999), we relax their hypotheses and provide a new method using cost for the employer. Interestingly, results for France stand in stark contrast with those found in the US: in manufacturing, we find no or little wage discrimination against women who appear to hold less productive jobs, while older workers are relatively overpaid, or equivalently, younger workers are underpaid. Robustness of these results across time periods, industries and identifying assumptions, are confirmed. (J24, J31, J7)

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References

1991Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations 1995Another look at the instrumental variable estimation of error-components models 1979Why Is There Mandatory Retirement?1998Wage Differentials, Employer Size, and Unemployment 1999GMM estimation with persistent panel data: an application to production functions 1982A Theory of Wage Dynamics 1980Experience, Performance, and Earnings 1995Production Functions: The Search for Identification

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