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Does Rent-Sharing Exist in Belgium? an Empirical Analysis Using Firm Level Data

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Author Info
Maarten Goos
Jozef Konings

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Abstract

This paper is the first which provides evidence for rent-sharing in Belgium using firm level data. It uses a panel of annual firm level data and shows that a rise in the firm’s profitability leads after some years to an increase in worker’s income. The profit-per-head elasticity of wages is about 0.1 and Lester’s range of wages is estimated at approximately 60 percent of the mean wage.

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File URL: http://www.econ.kuleuven.be/eng/ew/discussionpapers/Dps00/Dps0019.pdf
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Paper provided by Katholieke Universiteit Leuven, Centrum voor Economische Studiën in its series Center for Economic Studies - Discussion papers with number ces0019.

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Date of creation: Mar 2000
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Handle: RePEc:ete:ceswps:ces0019

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  1. Robert Plasman & Tojerow & François Rycx, 2006. "Industry Wage Differentials, Unobserved Ability, and Rent-Sharing: Evidence from Matched Worker-Firm Data, 1995-2002," Working Papers DULBEA 06-14.RS, Université libre de Bruxelles, Department of Applied Economics (DULBEA). [Downloadable!]
    Other versions:
  2. Sabien Dobbelaere, 2002. "Joint Estimation of Mark-up and Bargaining Power Parameters for Belgian Manufacturing," LICOS Discussion Papers 12102, LICOS - Centre for Institutions and Economic Performance, K.U.Leuven. [Downloadable!]
  3. Dobbelaere, Sabien, 2005. "Joint Estimation of Price-Cost Margins and Union Bargaining Power for Belgian Manufacturing," IZA Discussion Papers 1466, Institute for the Study of Labor (IZA). [Downloadable!]
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  4. Danièle Meulders & Robert Plasman & François Rycx, 2005. "Les inégalités salariales de genre : expliquer l'injustifiable ou justifier l'inexplicable," Reflets et perspectives de la vie économique, De Boeck Université, vol. 0(2), pages 95-107. [Downloadable!]
  5. S. Dobbelaere, 2003. "Ownership, Firm Size and Rent Sharing in a Transition Country," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 03/170, Ghent University, Faculty of Economics and Business Administration. [Downloadable!]
  6. Sara de la Rica & Ainara González de San Román, 2007. "The Impact of Firm Level Contracting on Wage Levels and Inequality: Spain 1995-2002," DFAEII Working Papers 200707, University of the Basque Country - Department of Foundations of Economic Analysis II. [Downloadable!]
  7. Ellen Brock & Sabien Dobbelaere, 2003. "Has International Trade Affected Workers?Bargaining Power?," LICOS Discussion Papers 13603, LICOS - Centre for Institutions and Economic Performance, K.U.Leuven. [Downloadable!]
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  8. Du Caju, Philip & Rycx, Francois & Tojerow, Ilan, 2008. "Rent-Sharing and the Cyclicality of Wage Differentials," IZA Discussion Papers 3844, Institute for the Study of Labor (IZA). [Downloadable!]
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  9. Sabien Dobbelaere, 2001. "Insider Power and Wage Determination in Bulgaria An Econometric Investigation," LICOS Discussion Papers 11101, LICOS - Centre for Institutions and Economic Performance, K.U.Leuven. [Downloadable!]
  10. Robert Plasman & François Rycx & Ilan Tojerow, 2007. "Wage Differentials in Belgium: The Role of Worker and Employer Characteristics," Working Papers DULBEA 07-12.RS, Université libre de Bruxelles, Department of Applied Economics (DULBEA). [Downloadable!]
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  11. Benoît Mahy & Mélanie Volral, 2008. "The effect of quantitative and qualitative training on labour demand in Belgium: a monopolistic competition approach," Economics of Education Working Paper Series 0021, University of Zurich, Institute for Strategy and Business Economics (ISU). [Downloadable!]
  12. Tojerow, Ilan & Rycx, François & Plasman, Robert, 2004. "Rent sharing and the gender wage gap in Belgium," Economic Literature ULB 2013-785, Université libre de Bruxelles, Libraries. [Downloadable!]
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