EconPapers    
Economics at your fingertips  
 

Which Ladder to Climb? Wages of Workers by Job, Plant, and Education

Christian Bayer () and Moritz Kuhn

No 15, Opportunity and Inclusive Growth Institute Working Papers from Federal Reserve Bank of Minneapolis

Abstract: Wages grow but also become more unequal as workers age. Using German administrative data, we largely attribute both life-cycle facts to one driving force: some workers progress in hierarchy to jobs with more responsibility, complexity, and independence. In short, they climb the career ladder. Climbing the career ladder explains 50% of wage growth and virtually all of rising wage dispersion. The increasing gender wage gap by age parallels a rising hierarchy gap. Our findings suggest that wage dynamics are shaped by the organization of production, which itself likely depends on technology, the skill set of the workforce, and labor market institutions.

Keywords: Wage inequality; Careers; Life-cycle wage growth; Human capital (search for similar items in EconPapers)
JEL-codes: E24 J31 D33 (search for similar items in EconPapers)
Pages: 51 pages
Date: 2018-09-12, Revised 2018-09-12
New Economics Papers: this item is included in nep-lma and nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.minneapolisfed.org/institute/working-papers-institute/iwp15.pdf Full text (application/pdf)

Related works:
Working Paper: Which Ladder to Climb? Wages of workers by job, plant, and education (2018) Downloads
Working Paper: Which Ladder to Climb? Wages of Workers by Job, Plant, and Education (2018) Downloads
Working Paper: Which Ladder to Climb? Wages of workers by job, plant, and education (2018) Downloads
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:fip:fedmoi:0015

DOI: 10.21034/iwp.15

Access Statistics for this paper

More papers in Opportunity and Inclusive Growth Institute Working Papers from Federal Reserve Bank of Minneapolis Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2020-07-13
Handle: RePEc:fip:fedmoi:0015