Estimating Compensating Wage Differentials Using Voluntary Job Changes
Evidence from Germany
Bibliographic Data
| ID | 4573513 |
|---|---|
| Authors | Ernesto Villanueva (0000-0002-2330-5566, corresponding author) |
| Year | 2007 |
| Volume | 60 |
| Issue | 4 |
| Pages | 544-561 |
| Publication date | 2007-07-01 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Industrial and Labor Relations Review (JOURNAL) |
| Journal identifiers | ISSN: 0019-7939 • E-ISSN: 2162-271X |
| Publisher | SAGE Publications Inc (PUBLISHER) |
| DOI | 10.1177/001979390706000405 |
| OpenAlex | W1581114950 |
| Language | EN |
| Citations received | 8 |
| References cited | 25 |
The author develops a model predicting that in a labor market that attaches a wage premium to jobs with a disamenity (a compensating wage differential), the premium's upper bound will be defined by the average wage change of voluntary job movers whose consumption of the disamenity rises as a result of their move; its lower bound, by the wage change of those whose consumption of the disamenity falls. These predictions will not hold if, as predicted by a "segmented" labor market model, the labor market attaches a wage penalty to workplace disamenities. Using longitudinal data on job characteristics and wages in Germany in 1984-2001, the author estimates the market returns to four workplace disamenities: heavy workload, job insecurity, poor hours regulation, and a mismatch between skills possessed and skills required. The results broadly support the existence of compensating differentials in the German labor market
Compensating differential · Consumption (sociology) · Differential (mechanical device) · Economics · Efficiency wage · Labour economics · Monopsony · Turnover · Wage · Wage share · Employment and Welfare Studies · Labor market dynamics and wage inequality · Retirement, Disability, and Employment
United, Yet Apart? A Note on Persistent Labour Market Differences between Western and Eastern Germany
Same educational level, same wage returns? An analysis over time and across occupations in Germany
The university workers’ willingness to pay for commuting
High-Pressure, High-Paying Jobs
Workers' marginal costs of commuting
The Willingness to Pay for Job Amenities
Marriage and Earnings
Compensating differentials, labor market segmentation, and wage inequality
| Citations per year | 0.47 |
|---|---|
| Citation span | 2009 - 2025 (17) |
| Highly cited | No |