Age, wage and productivity

Jan C. van Ours and Lenny Stoeldraijer

No 7713, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: Previous empirical studies on the effect of age on productivity and wages find contradicting results. Some studies find that if workers grow older there is an increasing gap between productivity and wages, i.e. wages increase with age while productivity does not or does not increase at the same pace. However, other studies find no evidence of such an age related pay-productivity gap. We perform an analysis of the relationship between age, wage and productivity using a matched worker-firm panel dataset from Dutch manufacturing covering the period 2000-2005. We find little evidence of an age related pay-productivity gap.

Keywords: Age; Productivity; Wage (search for similar items in EconPapers)
JEL-codes: J23 J31 (search for similar items in EconPapers)
Date: 2010-02
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Citations: View citations in EconPapers (35)

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