The Structure of Worker Compensation in Brazil, With a Comparison to France and the United States

Naerico Aquino Menezes Filho, Marc-Andreas Muendler and Garey Ramey

University of California at San Diego, Economics Working Paper Series from Department of Economics, UC San Diego

Abstract: We employ a comprehensive linked employer-employee data set for Brazil to analyze wage determinants and compare results to Abowd, Kramarz, Margolis and Troske (2001) for French and U.S. manufacturing. While returns to human capital variables in Brazilian manufacturing exceed those of the other countries, occupation and gender differentials are similar. The worker characteristics component of individual compensation accounts for much of the greater wage inequality in Brazil, but the establishment-fixed component has scant explanatory power. Thus, firm- or industry-level factors have little scope for explaining the differences in wage inequality. Brazil's wage structure closely resembles that of France, a country with some similarity in labor-market institutions.

Keywords: Wage structure; wage inequality; linked employer-employee data; formal and informal employment; selectivity; Brazil (search for similar items in EconPapers)
Date: 2006-11-26
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Citations: View citations in EconPapers (7)

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Related works:
Working Paper: The Structure of Worker Compensation in Brazil, with a Comparison to France and the United States (2006)
Working Paper: The Structure of Worker Compensation in Brazil, With a Comparison to France and the United States¤ (2005)
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