Documenting and Improving the Hourly Wage Measure in the Danish IDA Database

Christian Giødesen Lund () and Rune Vejlin

Nationaløkonomisk tidsskrift, 2016, vol. 2016, issue 1, 35

Abstract: This paper overhauls the hourly wage measure that is most often used in Danish research, the TIMELON variable in the IDA database. Based on a replication that we have constructed, we provide a documentation of the wage variable, the first of its kind, and then continue with a performance analysis. We find four puzzles. 1) The wages of part-timers fall steeply from 1992 to 1993, 2) the wages of full-timers fall from 2003 to 2004, 3) the level of the part-timer wages is around 12.5% higher than it should be, and 4) the wages of new hires fall steeply from the first year of employment to the second year. We analyze these puzzles in depth and solve almost all of them. Finally, we propose a new hourly wage measure that incorporates all the solutions and we show that it performs much better.

Keywords: Danish hourly wages; IDA data (search for similar items in EconPapers)
JEL-codes: J00 J31 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.xn--nt-lka.dk/files/2016/article/2016_1_2.pdf Full text (application/pdf)

Related works:
Working Paper: Documenting and Improving the Hourly Wage Measure in the Danish IDA Database (2015)
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:hhs:jdaecn:0022

Access Statistics for this article

Nationaløkonomisk tidsskrift is currently edited by Jan Rose Skaksen

More articles in Nationaløkonomisk tidsskrift from Nationaløkonomisk Forening Contact information at EDIRC.
Bibliographic data for series maintained by Lasse Wolsgård ( this e-mail address is bad, please contact ).