The politicians’ wage gap: insights from German members of parliament

Andreas Peichl, Nico Pestel and Sebastian Siegloch

Public Choice, 2013, vol. 156, issue 3, 653-676

Abstract: Using a unique dataset of German members of parliament (MPs), this paper analyzes the politicians’ wage gap (PWG). After controlling for observable characteristics as well as accounting for election probabilities and campaigning costs, we find a positive income premium for MPs which is statistically and economically significant. Our results are consistent with the citizen candidate model, with a PWG of 35%–65% when comparing MPs to citizens occupying executive positions. However, it shrinks to zero when restricting the control group to top level executives. Copyright Springer Science+Business Media, LLC 2013

Keywords: Politicians’ wage gap; Citizen candidate model; Remuneration from public office; Outside earnings (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (20)

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Related works:
Working Paper: The Politicians' Wage Gap: Insights from German Members of Parliament (2011)
Working Paper: The Politicians' Wage Gap: Insights from German Members of Parliament (2011)
Working Paper: The politicians’ wage gap: insights from German members of parliament (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:kap:pubcho:v:156:y:2013:i:3:p:653-676

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DOI: 10.1007/s11127-012-9921-4

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