Firm Heterogeneity in Capital–Labour Ratios and Wage Inequality
Bibliographic Data
| ID | 9714859 |
|---|---|
| Authors | Marco Leonardi (0000-0002-7989-1162, University of Milan, corresponding author) |
| Year | 2007 |
| Volume | 117 |
| Issue | 518 |
| Pages | 375-398 |
| Publication date | 2007-03-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Economic Journal (JOURNAL) |
| Journal identifiers | ISSN: 0013-0133 • E-ISSN: 1468-0297 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1111/j.1468-0297.2007.02022.x |
| OpenAlex | W1535532230 |
| Language | EN |
| Citations received | 10 |
| References cited | 22 |
This article documents the increasing dispersion of capital-labour ratios across firms in the US and provides some empirical evidence of a positive correlation at the two-digit industry level between the dispersion of capital-labour ratios across firms and residual wage inequality. To explain this empirical fact, the article adopts a search model where the exogenous decline in the relative price of equipment capital makes the distribution of capital-labour ratios more dispersed and increases wage dispersion among identical workers. OLS estimates of the relationship between capital dispersion and the relative price of equipment capital support the main hypothesis of the model. Copyright 2007 The Author(s). Journal compilation Royal Economic Society 2007
Capital (architecture · Dispersion (optics · Distribution (mathematics · Economics · Efficiency wage · Empirical evidence · Inequality · Labour economics · Wage · Wage dispersion · Wage Inequality · Firm Innovation and Growth · Labor market dynamics and wage inequality · Mathematics · Regional Economics and Spatial Analysis
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Diverging Trends in Aggregate and Firm Volatility
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Efficiency Wages and the Inter-Industry Wage Structure
Changes in Unemployment and Wage Inequality
Ability-Biased Technological Transition, Wage Inequality, and Economic Growth
The Growth of Earnings Instability in the U.S. Labor Market
Increasing Residual Wage Inequality
"Overeducation" in the Labor Market
Skill‐Biased Technological Change and Rising Wage Inequality
The Evolution of High Incomes in Northern America
The Skill Content of Recent Technological Change
NBER Macroeconomics Annual 2005
Diverging Trends in Aggregate and Firm Volatility
Income Inequality in the United States, 1913-1998
Wage Inequality and the Rise in Returns to Skill
Changes in the Structure and Quality of Jobs in the United States
| Unique citing works | 10 |
|---|---|
| Citations per year | 0,48 |
| Citation span | 2005 - 2025 (21) |
| Citation velocity | recent |
| Highly cited | No |
| Citation types | Neutral: 10 |