Advanced Search
MyIDEAS: Login

Specific training, unions, and the relationship between employer size and wages

Contents:

Author Info

  • James E. Pearce
Registered author(s):

    Abstract

    In this paper I demonstrate that the explanatory power of employer size variables in nonunion wage regressions is diminished by allowing the coefficient of tenure (years on current job) to vary with employer size. Among nonunion workers, average tenure and the coefficient of tenure increase with both firm size and plant size. This pattern is consistent with the hypothesis that investment in specific human capita1 accounts for much of the previously unexplained relationship between employer size and nonunion wages . The relationships between compensation tenure, and employer size are different for union workers. Employer size is less important generally, and the importance of plant size is especially low. Also, the data are more consistent with the specific human capital model when union compensation is measured by annual income rather than the hourly wage.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://dallasfed.org/assets/documents/research/papers/1985/wp8504.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by Federal Reserve Bank of Dallas in its series Working Papers with number 8504.

    as in new window
    Length:
    Date of creation: 1985
    Date of revision:
    Handle: RePEc:fip:feddwp:85-04

    Contact details of provider:
    Email:
    Web page: http://www.dallasfed.org/
    More information through EDIRC

    Order Information:
    Email:

    Related research

    Keywords:

    References

    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.:
    as in new window
    1. Lorne Carmichael, 1981. "Firm-Specific Human Capital and Promotion Ladders," Working Papers 452, Queen's University, Department of Economics.
    2. Richard B. Freeman & James L. Medoff, 1979. "New estimates of private sector unionism in the United States," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 32(2), pages 143-174, January.
    3. Pearce, James E, 1983. "Unionism and the Cyclical Behavior of the Labor Market in U.S. Manufacturing," The Review of Economics and Statistics, MIT Press, vol. 65(3), pages 450-58, August.
    4. Masters, Stanley H, 1969. "An Interindustry Analysis of Wages and Plant Size," The Review of Economics and Statistics, MIT Press, vol. 51(3), pages 341-45, August.
    5. Parsons, Donald O, 1972. "Specific Human Capital: An Application to Quit Rates and Layoff Rates," Journal of Political Economy, University of Chicago Press, vol. 80(6), pages 1120-43, Nov.-Dec..
    6. Garen, John E, 1985. "Worker Heterogeneity, Job Screening, and Firm Size," Journal of Political Economy, University of Chicago Press, vol. 93(4), pages 715-39, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Charles Brown & James L. Medoff, 1989. "The Employer Size-Wage Effect," NBER Working Papers 2870, National Bureau of Economic Research, Inc.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:fip:feddwp:85-04. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Delia Rodriguez).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.