 Organization & density-related differences in within-firm wage disparitiesGrigorios Spanos Regional Science and Urban Economics, 2022, vol. 95, issue C Abstract: This paper examines differences in within-firm wage disparities across French employment areas. Using administrative data, my analysis first documents that wage disparities are larger within firms operating in denser employment areas: a 100% increase in the employment density of an area is associated with a 0.015 log point increase in the 95/5 hourly wage ratio within firms. My analysis also examines the extent to which differences in the internal organization of labor into layers of hierarchy account for these disparities. I find that firms in denser employment areas organize into a greater number of layers, and that wage disparities are larger in firms with more layers. Finally, I conclude that firm organization is important: local differences in firm organization account for 31.3%–50.0% of the cross-sectional relationship between the employment density of areas and the log of the 95/5 hourly wage ratio within firms, and 12.2% of the same relationship estimated within firms. A separate analysis conducted with the standard deviation of log hourly wages leads to similar conclusions. Keywords: Firm organization; Density; Regional disparities; Wage disparities (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:regeco:v:95:y:2022:i:c:s0166046222000187 DOI: 10.1016/j.regsciurbeco.2022.103787 Access Statistics for this article Regional Science and Urban Economics is currently edited by D.P McMillen and Y. Zenou More articles in Regional Science and Urban Economics from Elsevier |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.