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Inter-Industry Wage Differentials in Switzerland

Author

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  • Giovanni Ferro-Luzzi

Abstract

This paper analyzes the Swiss inter-industry wage structure in the light of the current debate on the efficiency wage hypothesis. Results clearly indicate the presence of an industry component in the determinants of earnings in Switzerland. No definite conclusion emerges though as to the source of wage variation. The stability of the wage structure and the role of tenure point to the existence of "wage rents". However, these results may be severely biased if unobserved ability is used by firms to sort workers.

Suggested Citation

  • Giovanni Ferro-Luzzi, 1994. "Inter-Industry Wage Differentials in Switzerland," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 130(III), pages 421-443, September.
    • Handle: RePEc:ses:arsjes:1994-iii-10
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    Cited by:

    1. Du Caju, Philip & Rycx, François & Tojerow, Ilan, 2008. "Rent-Sharing and the Cyclicality of Wage Differentials," IZA Discussion Papers 3844, Institute of Labor Economics (IZA).
    2. Plasman, Robert & Rycx, François & Tojerow, Ilan, 2006. "Industry Wage Differentials, Unobserved Ability, and Rent-Sharing: Evidence from Matched Worker-Firm Data, 1995-2002," IZA Discussion Papers 2387, Institute of Labor Economics (IZA).
    3. Philip Du Caju & François Rycx & Ilan Tojerow, 2011. "Inter‐Industry Wage Differentials: How Much Does Rent Sharing Matter?," Manchester School, University of Manchester, vol. 79(4), pages 691-717, July.
    4. François Rycx & Ilan Tojerow & Daphné Valsamis, 2008. "Wage differentials across sectors in Europe: an east-west comparison," DULBEA Working Papers 08-17.RS, ULB -- Universite Libre de Bruxelles.
    5. Du Caju, Philip & Rycx, François & Tojerow, Ilan, 2011. "Wage structure effects of international trade: evidence from a small open economy," Working Paper Series 1325, European Central Bank.
    6. Robert Plasman & François Rycx & Ilan Tojerow, 2006. "Industry wage differentials, unobserved ability, and rent-sharing: evidence from matched employer-employee, 1992-2005," DULBEA Working Papers 06-14.RS, ULB -- Universite Libre de Bruxelles.
    7. François Rycx, 2002. "Inter-industry wage differentials: evidence from Belgium in a cross-national perspective," ULB Institutional Repository 2013/791, ULB -- Universite Libre de Bruxelles.
    8. Brenda Gannon & Brian Nolan, 2004. "Inter-Industry Wage Differentials in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 35(2), pages 157-182.

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