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Bargaining Structure, Wage Determination, and Wage Dispersion in 6 OECD-Countries

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Author Info
Josef Zweimuller (University of California, Berkeley)
Erling Barth (University of California, Berkeley)

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Abstract

The paper examines the role of collective bargaining systems as a determinant of the inter-industry wage structure. It compares wage patterns of six countries: Austria, Canada, Germany, Norway, Sweden and the U.S.. We use comparable wage regressions from micro cross-sections data to calculate inequality in pay across sectors. Our findings suggest the following: First, high (low) wage sectors in one country tend to be high (low) wage sectors in others, irrespective of the (dis)similarity in labor market institutions. Second, differences in the amount of pay inequality are likely to be the result of differences in collective bargaining: more centralized bargaining structures tend to narrow pay differentials across industries.

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Publisher Info
Paper provided by Institute of Industrial Relations, UC Berkeley in its series Institute for Research on Labor and Employment, Working Paper Series with number 1074.

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Date of creation: 01 Aug 1992
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Handle: RePEc:cdl:indrel:1074

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Related research
Keywords: Zweimuller; Barth; bargaining structure; wage determination; wage dispersion; OECD;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Erling Barth & Josef Zweimuller, 1992. "Labor Market Institutions and the Industry Wage Distribution: Evidence from Austria, Norway, and the U.S," Institute for Research on Labor and Employment, Working Paper Series 1067, Institute of Industrial Relations, UC Berkeley. [Downloadable!]
  2. Zweimuller, Josef, 1992. "Survey non-response and biases in wage regressions," Economics Letters, Elsevier, vol. 39(1), pages 105-109, May. [Downloadable!] (restricted)
  3. Alan B. Krueger & Lawrence H. Summers, 1987. "Reflections on the Inter-Industry Wage Structure," NBER Working Papers 1968, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Winter-Ebmer, Rudolf, 1992. "Endogenous Growth, Human Capital, and Industry Wages," CEPR Discussion Papers 714, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  5. Krueger, Alan B & Summers, Lawrence H, 1988. "Efficiency Wages and the Inter-industry Wage Structure," Econometrica, Econometric Society, vol. 56(2), pages 259-93, March. [Downloadable!] (restricted)
  6. Layard, R. & Nickell, S., . "Layard-Nickell," Instructional Stata datasets for econometrics layardnickell, Boston College Department of Economics. [Downloadable!]
  7. William T. Dickens & Lawrence F. Katz, 1987. "Inter-Industry Wage Differences and Theories of Wage Determination," NBER Working Papers 2271, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  8. William T. Dickens, 1986. "Wages, Employment and the Threat of Collective Action by Workers," NBER Working Papers 1856, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  9. Wagner, Joachim, 1990. "An international comparison of sector wage differentials," Economics Letters, Elsevier, vol. 34(1), pages 93-97, September. [Downloadable!] (restricted)
  10. Edin, P-A. & Zetterberg, J., 1989. "Inter-Industry Wage Differntials: Evidence From Sweden And A Comparison Withthe United States," Papers 1989f, Uppsala - Working Paper Series.
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Rycx, François, 2002. "Inter-industry wage differentials: evidence from Belgium in a cross-national perspective," Economic Literature ULB 2013-791, Université libre de Bruxelles, Libraries. [Downloadable!]
  2. Brenda Gannon & Robert Plasman & François Rycx & Ilan Tojerow, 2005. "Inter-Industry Wage Differentials and the Gender Wage Gap: Evidence from European Countries," IZA Discussion Papers 1563, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  3. Rycx, François & Plasman, Robert, 2001. "Collective bargaining and poverty: a cross-national perspective," Economic Literature ULB 2013-795, Université libre de Bruxelles, Libraries. [Downloadable!]
  4. Joop Hartog & Pedro Pereira & José Vieira, 2000. "Inter-industry Wage Dispersion in Portugal," Empirica, Springer, vol. 27(4), pages 353-364, December. [Downloadable!] (restricted)
  5. Rycx, François & Plasman, Robert, 2003. "Industry wage differentials and the bargaining regime in a corporatist country," Economic Literature ULB 2013-787, Université libre de Bruxelles, Libraries. [Downloadable!]
  6. Adriana Marshall, 1999. "Wage Determination Regimes and Pay Inequality: a comparative study of Latin American countries," International Review of Applied Economics, Taylor and Francis Journals, vol. 13(1), pages 23-39, January. [Downloadable!] (restricted)
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