The effect of productivity growth on within-firm inequality

Melanie Wallskog, Nicholas Bloom, Scott Ohlmacher, Cristina Tello-Trillo 

Wage inequality has increased dramatically in the US since the 1970s, largely driven by within-firm earnings inequality. This column uses combined data from three large micro datasets to study the drivers and implications of within-firm inequality. It shows that employees across the entire wage distribution gain from higher firm productivity, but these gains are unequally distributed. The top 1% of employees by pay have a fourfold higher response to productivity than the bottom 1%. Aggregating these effects suggests that the increase in labour productivity over 1980-2013 can explain around 40% of the rise in the gap between CEO and median worker pay.

Πηγή: Voxeu

πλήρες κείμενο


σχετικά άρθρα