2018 Fiscal Year Research-status Report
Trade, Wage Inequality and Intra-Firm Bargaining: A Structural Decomposition Analysis
| Project/Area Number |
18K12769
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| Research Institution | Osaka University |
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Principal Investigator |
朱 連明 大阪大学, 社会経済研究所, 准教授 (60770691)
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| Project Period (FY) |
2018-04-01 – 2021-03-31
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| Keywords | 賃金 / 企業レベルデータ |
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| Outline of Annual Research Achievements |
There are wide variations in wage rates paid by firms within industries and within occupations. This project develops an estimation framework to decompose firm wages into two components, the reservation wage, which proxies the composition of the workforce, and the wage rent, which captures rent between firms and workers. The framework is general to incorporate any market structures and can be applied to all firm data with accounting information such as output, employment, capital, intermediate inputs, and wages.
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| Current Status of Research Progress |
Current Status of Research Progress
2: Research has progressed on the whole more than it was originally planned.
Reason
Based on the research proposal, in the first fiscal year, I develop an estimation framework to decompose firm wages into two components, the reservation wage, which proxies the composition of the workforce, and the wage rent, which captures rent between firms and workers.
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| Strategy for Future Research Activity |
1) Apply the framework to firm-level data and examine the relative contribution of reservation wage and wage rent in firm wages;
2) Estimate how two wage components respond to trade reforms
3) Write up a paper on wage decomposition and trade reforms
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