Year: 1989
Type: article
Abstract: We consider six explanations for the positive relationship between employer size and wages: large employers (1) hire higher-quality workers, (2) offer inferior working conditions, (3) make more use of high wages to forestall unionization, (4) have more ability to pay high wages, (5) face smaller pools of applicants relative to vacancies, and (6) are less able to monitor their workers. We find some support for the first of these, but there remains a significant wage premium for those working for large employers.
Source: Journal of Political Economy
DOI: 10.3386/w2870
Authors: Charles Brown, James Medoff
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2003422660