NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Pensions and Wage Premia

Edward Montgomery, Kathryn Shaw

NBER Working Paper No. 3985
Issued in February 1992
NBER Program(s):   LS

In this paper we use that the theory of compensating differentials to identify sources of heterogeneity in firms' costs of providing fringe benefits and hence heterogeneity in the magnitude of the compensating differential. We estimate the relationship between pensions and wages controlling for variations in the size of the compensating differential related to firm size or the presence of a union. Both firm size and unionism are commonly associated with the payment of wage premia and/or the presence of market power where the costs of fringe benefits to the firm may be less. Our results are consistent with these a priori expectations and suggest that the magnitude of the compensating differential is significantly higher in nonunion and in small firms.

download in pdf format
   (249 K)

download in djvu format
   (174 K)

email paper

This paper is available as PDF (249 K) or DjVu (174 K) (Download viewer) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Published: Montgomery, Edward and Kathryn Shaw. "Pensions And Wage Premia," Economic Inquiry, 1997, v35(3,Jul), 510-522.

Users who downloaded this paper also downloaded these:
Smith and Ehrenberg Estimating Wage-Fringe Trade-Offs: Some Data Problems
Smith and Ehrenberg w0827 Estimating Wage-Fringe Trade-Offs: Some Data Problems
 
Publications
Activities
Meetings
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us