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Efficiency Wages and Effort: Are Hard Jobs Better?

Author

Listed:
  • Strobl, Eric

    (University of Bern)

  • Walsh, Frank

    (University College Dublin)

Abstract

Efficiency wage theory predicts that the wage per unit of effort will be lower in intensively monitored sectors. This wage differential will increase in effort. Using employer-employee matched data from Ghana we provide evidence supporting this hypothesis.

Suggested Citation

  • Strobl, Eric & Walsh, Frank, 2002. "Efficiency Wages and Effort: Are Hard Jobs Better?," IZA Discussion Papers 661, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp661
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    References listed on IDEAS

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    1. Solow, Robert M., 1979. "Another possible source of wage stickiness," Journal of Macroeconomics, Elsevier, vol. 1(1), pages 79-82.
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    JEL classification:

    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts

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