This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Managers and wage policies

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Natália P. Monteiro () (Universidade do Minho - NIPE)
Paulo Bastos () (Inter-American Development Bank and GEP, University of Nottingham)

Additional information is available for the following registered author(s):

Abstract

We investigate the effects of individual top managers on wages and wage policies. A large longitudinal administrative dataset from Portugal allows us to match workers,firms and top managers, and follow the movements of the latter across different firms over time. We estimate the role of top manager fixed-effects in determining wages and wage policies, while also accounting for the effect of worker and firm heterogeneity. Our results reveal that top managers have a significant influence on wages, the returns to schooling and tenure, the gender wage gap, and the extent of rent sharing. Further-more, they point to the existence of managerial styles in the setting of wage policies. Finally, we relate worker compensation to observable managerial attributes, and find that returns to schooling tend to be higher in firms led by more educated top executives, while longer-tenured managers appear on average to engage in more rent sharing.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. 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://www3.eeg.uminho.pt/economia/nipe/docs/2009/NIPE_WP_2_2009.pdf
File Format: application/pdf
File Function:
Download Restriction: no

Publisher Info
Paper provided by NIPE - Universidade do Minho in its series NIPE Working Papers with number 2/2009.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length:
Date of creation: 2009
Date of revision:
Handle: RePEc:nip:nipewp:2/2009

Contact details of provider:
Postal: Núcleo de Investigação em Políticas Económicas, Escola de Economia e Gestão, Universidade do Minho, P-4710-057 Braga, Portugal
Phone: +351-253604510 ext 5532
Fax: +351-253601380
Email:
Web page: http://www3.eeg.uminho.pt/economia/nipe/versao_inglesa/index_uk.htm
More information through EDIRC

Order Information:
Email:

For technical questions regarding this item, or to correct its listing, contact: (Maria João Thompson).

Related research
Keywords: Top managers; wage policies; linked worker-firm-manager data.;

Other versions of this item:

Find related papers by JEL classification:
D21 - Microeconomics - - Production and Organizations - - - Firm Behavior
M5 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

This paper has been announced in the following NEP Reports:

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. Martyn Andrews & Thorsten Schank & Richard Upward, 2006. "Practical fixed-effects estimation methods for the three-way error-components model," Stata Journal, StataCorp LP, vol. 6(4), pages 461-481, December. [Downloadable!]
  2. Luís Aguiar-Conraria & Pedro C. Magalhães, 2008. "Referendum Design, Quorum Rules and Turnout," NIPE Working Papers 05/2008, NIPE - Universidade do Minho. [Downloadable!]
  3. Fernando Alexandre & Vasco J. Gabriel & Pedro Bação, 2008. "Taylor-type rules versus optimal policy in a Markov-switching economy," NIPE Working Papers 15/2008, NIPE - Universidade do Minho. [Downloadable!]
    Other versions:
  4. Vasco Gabriel & Paul Levine & Christopher Spencer, 2008. "How forward-looking is the Fed? Direct estimates from a `Calvo-type' rule," Department of Economics Discussion Papers 0508, Department of Economics, University of Surrey. [Downloadable!]
    Other versions:
  5. Ana Rute Cardoso & Rudolf Winter-Ebmer, 2007. "Mentoring and Segregation: Female-Led Firms and Gender Wage Policies," IZA Discussion Papers 3210, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  6. Rosa Branca Esteves, 2008. "Price Discrimination with Partial Information: Does it pay off?," NIPE Working Papers 12/2008, NIPE - Universidade do Minho. [Downloadable!]
    Other versions:
  7. Amado, Cristina & Teräsvirta, Timo, 2008. "Modelling Conditional and Unconditional Heteroskedasticity with Smoothly Time-Varying Structure," Working Paper Series in Economics and Finance 691, Stockholm School of Economics. [Downloadable!]
    Other versions:
  8. Cardoso, Ana Rute, 2006. "Wage mobility: do institutions make a difference?," Labour Economics, Elsevier, vol. 13(3), pages 387-404, June. [Downloadable!] (restricted)
  9. Delfim Gomes Neto & Francisco José Veiga, 2008. "Financial globalization, convergence and growth," NIPE Working Papers 07/2008, NIPE - Universidade do Minho. [Downloadable!]
  10. Kevin J. Murphy & Ján Zábojník, 2004. "CEO Pay and Appointments: A Market-Based Explanation for Recent Trends," American Economic Review, American Economic Association, vol. 94(2), pages 192-196, May. [Downloadable!]
  11. John M. Abowd & Francis Kramarz & Sébastien Roux, 2006. "Wages, Mobility and Firm Performance: Advantages and Insights from Using Matched Worker-Firm Data," Economic Journal, Royal Economic Society, vol. 116(512), pages F245-F285, 06. [Downloadable!] (restricted)
  12. John M. Abowd & Francis Kramarz & David N. Margolis, 1999. "High Wage Workers and High Wage Firms," Econometrica, Econometric Society, vol. 67(2), pages 251-334, March.
    Other versions:
  13. Cuñat, Vicente & Guadalupe, Maria, 2006. "Globalization and the Provision of Incentives Inside the Firm," CEPR Discussion Papers 5950, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  14. Bertrand, Marianne & Schoar, Antoinette, 2003. "Managing With Style: The Effect of Managers on Firm Policies," Working papers 4280-02, Massachusetts Institute of Technology (MIT), Sloan School of Management. [Downloadable!]
    Other versions:
  15. Nicholas Bloom & John Van Reenen, 2007. "Measuring and Explaining Management Practices Across Firms and Countries," The Quarterly Journal of Economics, MIT Press, vol. 122(4), pages 1351-1408, November. [Downloadable!] (restricted)
    Other versions:
  16. Thomas Cornelißen & Olaf Hübler, 2007. "Unobserved Individual and Firm Heterogeneity in Wage and Tenure Functions: Evidence from German Linked Employer-Employee Data," IZA Discussion Papers 2741, Institute for the Study of Labor (IZA). [Downloadable!]
  17. Sebastian Buhai & Miguel Portela & Coen Teulings & Aico van Vuuren, 2008. "Returns to Tenure or Seniority?," Tinbergen Institute Discussion Papers 08-010/3, Tinbergen Institute. [Downloadable!]
    Other versions:
  18. Xavier Gabaix & Augustin Landier, 2008. "Why Has CEO Pay Increased So Much?," The Quarterly Journal of Economics, MIT Press, vol. 123(1), pages 49-100, 02. [Downloadable!] (restricted)
    Other versions:
  19. Murphy, Kevin J., 1999. "Executive compensation," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 38, pages 2485-2563 Elsevier. [Downloadable!] (restricted)
Full references

Statistics
Access and download statistics

Did you know? You too can volunteer with RePEc.

This page was last updated on 2009-11-21.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.