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Wages and Job Satisfaction in Portugal

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  • José Vieira

    ()

  • João Couto

    ()

  • Maria Teresa Borges-Tiago

    ()

Abstract

The interest in the analysis of job satisfaction has increased among economists. Indeed, reported levels of satisfaction have been seen as a good predictor of individual behaviour such as job turnover, productivity and absenteeism. Because of this, several studies have tried to identify the determinants of job satisfaction. This paper is concerned with job satisfaction in Portugal. For this purpose, we use the first six waves of the European Household Panel Data (ECHP). The panel nature of the data allows us to use a random effects estimator in order to control for unobservable individual heterogeneity. The results indicate that wages matter for job satisfaction but do not tell the whole story. In particular, having a good health status, a permanent contract and working the public sector influences positively the level satisfaction. We also find a great heterogeneity in satisfaction by regions, even in a small country as Portugal. These findings are valid for overall job satisfaction as well as for satisfaction with specific job domains such as pay, security, type of work and hours worked. Key words: job satisfaction, wages, regions, unobserved heterogeneity JEL Code: J28

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Bibliographic Info

Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa04p667.

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Date of creation: Aug 2004
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Handle: RePEc:wiw:wiwrsa:ersa04p667

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  1. Shields, Michael A. & Wheatley Price, Stephen, 2000. "Racial Harassment, Job Satisfaction and Intentions to Quit: Evidence from the British Nursing Profession," IZA Discussion Papers 164, Institute for the Study of Labor (IZA).
  2. Clark, Andrew E. & Oswald, Andrew J., 1996. "Satisfaction and comparison income," Journal of Public Economics, Elsevier, vol. 61(3), pages 359-381, September.
  3. Rannia Leontaridi & Peter Sloane, 2001. "Measuring The Quality Of Jobs," LoWER Working Papers wp7, AIAS, Amsterdam Institute for Advanced Labour Studies.
  4. J Taylor & S Bradley & A N Nguyen, 2003. "Job autonomy and job satisfaction: new evidence," Working Papers 541528, Lancaster University Management School, Economics Department.
  5. Guillaume R. Frechette, 2001. "Random-effects ordered probit," Stata Technical Bulletin, StataCorp LP, vol. 10(59).
  6. Clark, Andrew E., 1997. "Job satisfaction and gender: Why are women so happy at work?," Labour Economics, Elsevier, vol. 4(4), pages 341-372, December.
  7. Richard B. Freeman, 1978. "Job Satisfaction as an Economic Variable," NBER Working Papers 0225, National Bureau of Economic Research, Inc.
  8. repec:lan:wpaper:1021 is not listed on IDEAS
  9. Miller, Paul W, 1990. "Trade Unions and Job Satisfaction," Australian Economic Papers, Wiley Blackwell, vol. 29(55), pages 226-48, December.
  10. repec:lan:wpaper:1084 is not listed on IDEAS
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