This paper examines links between evolutions in productivity dispersion, wage dispersion, and superstar firms. Using a rich sample of firms in 14 EU countries from 2000-2016, we confirm increases in all three variables—albeit with a moderating effect for wage and productivity dispersion in recent years. Beyond documenting an incomplete pass-through from productivity into wages, we […]
Author Archive | Yannick Bormans, Jozef Konings and Angelos Theodorakopoulos
The Link Between Productivity and Wage Dispersion: The Role of Superstar Firms
Yannick Bormans and Angelos Theodorakopoulos - 24 June 2020
This paper examines links between evolutions in productivity dispersion, wage dispersion, and superstar firms. Using a rich sample of firms in 14 EU countries from 2000-2016, we confirm increases in all three variables—albeit with a moderating effect for wage and productivity dispersion in recent years. We document a positive correlation between productivity and wage dispersion, pointing […]
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