How Bad Is Labor Market Concentration?: Evidence From Soviet (Urban) Satellites
Nadezhda Zhuravleva
VfS Annual Conference 2021 (Virtual Conference): Climate Economics from Verein für Socialpolitik / German Economic Association
Abstract:
There is a debate about the labor market concentration being behind the anemic development of US wages over the past decades. The absence of exogenous variations for causal inference complicates this debate. Here, data from other countries can help. I exploit a variation from a quasi-natural experiment rooted in the practice of urban and industrial planning of the Soviet Union. The Soviet planners developed green-field urban satellites and industrial plants hand-in-hand as large lumpy units. This lumpiness creates variations of concentration in Russia's labor markets still today. Using this variation, I find that concentration significantly hurts wages. A 10% increase in the number of firms leads to a 5% increase in wages.
JEL-codes: E24 J30 J31 J42 (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-cis, nep-mac and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations:
Downloads: (external link)
https://www.econstor.eu/bitstream/10419/242405/1/vfs-2021-pid-49996.pdf (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:zbw:vfsc21:242405
Access Statistics for this paper
More papers in VfS Annual Conference 2021 (Virtual Conference): Climate Economics from Verein für Socialpolitik / German Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().