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Spillovers of Equal Treatment in Wage Offers
Author(s) -
Kawamura Kohei,
Sákovics József
Publication year - 2014
Publication title -
scottish journal of political economy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.4
H-Index - 46
eISSN - 1467-9485
pISSN - 0036-9292
DOI - 10.1111/sjpe.12054
Subject(s) - wage , matching (statistics) , productivity , labour economics , economics , efficiency wage , macroeconomics , medicine , pathology
We analyse a labour‐matching model with wage posting, where – reflecting institutional constraints – firms cannot differentiate their wage offers within certain subsets of workers. Inter alia , we find that the presence of impersonal wage offers leads to wage compression, which propagates to the wages for high productivity workers who receive personalized offers.