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Erscheinungsjahr: 
2020
Schriftenreihe/Nr.: 
FAU Discussion Papers in Economics No. 02/2020
Verlag: 
Friedrich-Alexander-Universität Erlangen-Nürnberg, Institute for Economics, Nürnberg
Zusammenfassung: 
We use an extensive, matched employer-employee dataset to analyze the employersize wage relation and its contribution to wage inequality in Germany. Applying models with additive fixed effects for workers and establishments, we document that the large firm wage premium, which has risen over 25 years, has only recently started to decrease. Our estimates show that the recent decline is due to a decrease in the variation of establishment-specific wage premiums both across establishment size groups and within. This decline together with decreasing worker segregation at small firms account for an overall reversal in the trend of increasing wage dispersion.
Schlagwörter: 
firm size
wage inequality
wage premiums
fixed-effect wage models
firm andworker heterogeneity
JEL: 
J00
J21
J31
J40
Dokumentart: 
Working Paper

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