CEU eTD Collection (2015); B. Kis, Anna: How Do Firm Characteristics Affect Wage Premia in Hungary (1992-2010)?

CEU Electronic Theses and Dissertations, 2015
Author B. Kis, Anna
Title How Do Firm Characteristics Affect Wage Premia in Hungary (1992-2010)?
Summary I analyze the association between firm characteristics and within-firm wage premia in Hungary between 1992 and 2010. Using the Hungarian Wage Survey, a linked employer-employee dataset, I use firm level mean wage ratios of high, middle and low skilled worker groups to operationalize wage premia. In a pooled OLS as well as a panel fixed effects model, I estimate the effect of firm size, firm ownership, productivity and the skill-intensity of the industry the firm operates in on firm-level wage premia. According to my results, wage premia are higher in larger, foreign-owned, more productive and more skill-intensive firms, and lower in domestic private firms compared to state-owned ones. Except for skill-intensity and domestic private ownership, these effects are significant even if we control for firm-specific fixed effects. Firm size and foreign ownership increase wage premia especially at the top of the distribution, while productivity at the bottom. The effects do not seem to vary much across different time periods, but some of the firm characteristics show an increasing effect on wage differentials over time.
Supervisor Telegdy, Álmos
Department Economics MA
Full texthttps://www.etd.ceu.edu/2015/kis_anna.pdf

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