Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/35575 
Year of Publication: 
2009
Series/Report no.: 
IZA Discussion Papers No. 4143
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
The paper reexamines the employer size-wage puzzle using NLSY79 data. The empirical results show that even for those who never receive any training from their employers, size-wage premium still exists and is quantitatively important. Wage increases associated with receiving on-the-job training are less in large establishments than in small ones. In addition, there is no evidence that starting wages in large establishments are lower than in small establishments. Theories that explain the size-wage puzzle using training and other endogenous productivity differences are not consistent with these new findings.
Subjects: 
Size-wage premium
return to training
establishment size
JEL: 
J31
J24
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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