The Rural/Urban Wage Premium, Backwater- and Firm-Size Effects – A Microdata Cohort Analysis for Germany.

Möller, Joachim and Lehmer, Florian (2006) The Rural/Urban Wage Premium, Backwater- and Firm-Size Effects – A Microdata Cohort Analysis for Germany. Working Paper.

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Abstract

At the interface of regional and labor economics, our paper deals with two central topics in the analysis of wage formation, the urban wage premium and the firm-size wage differential. Choosing a cohort of workers from a large panel micro data set we find a raw urban wage premium of 15 percent. Controlling for firm size lowers the premium by 1/3. Evidence on migrants implies that the effects of rural/ urban migration are dominated by the effects of changing the firm size category. Therefore, we suggest that the urban wage premium is strongly interrelated with the
firm-size wage differential.

Item Type:Monograph (Working Paper)
Institutions: Business, Economics and Information Systems > Institut für Volkswirtschaftslehre und Ökonometrie > Lehrstuhl für Empirische Makroökonomie und Regionalökonomie (Prof. Dr. Joachim Möller)
Business, Economics and Information Systems > IRE|BS > Lehrstuhl für Empirische Makroökonomie und Regionalökonomie (Prof. Dr. Joachim Möller)
Keywords:Urban- rural migration; firm-size mobility; wage growth; urban wage premium; firm-size wage premium
Subjects:300 Social sciences > 330 Economics
Status:Published
Created at the University of Regensburg:Yes
Owner:Petra Gürster
Deposited On:07 Aug 2006
Last Modified:20 Jul 2011 22:48
Item ID:215
Owner Only: item control page