This paper examines wage differentials at the firm level in Chile and Brazil, using data for 1985 and 1991, and 1987 respectively. The high level of disaggregation in the data available for Chile enables the authors also to analyze the degree to which wage differentials between individual employers are similar across occupations. The results of this study reaffirm those of previous research pointing to noncompetitive explanations for wage differentials, specifically providing clear evidence that interfirm wage premia are highly correlated across occupations. Copyright 1998 by The International Association for Research in Income and Wealth.
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