Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/102966
Authors: 
Siegenthaler, Michael
Stucki, Tobias
Year of Publication: 
2014
Series/Report no.: 
KOF Working Papers, KOF Swiss Economic Institute, ETH Zurich 352
Abstract: 
This paper is the first to study the factors determining labor's share of income on the level of the individual firm, employing an unusually informative panel data set. The empirical examination is concerned with Switzerland which stands out as one of the very few developed countries with a stable labor share. Broadly confirming results from previous cross-country and industry-level studies, we find that the main factor decreasing the labor share in the estimation period is the increase in the share of workers using ICT in the firm. The main reasons why Switzerland's labor share remained almost constant are its relatively slow-rate of technological progress and shifts towards industries with above-average labor shares.
Subjects: 
Labor share
factor income distribution
firm-level analysis
JEL: 
D33
E25
J24
O30
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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