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Management Toolkit

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Production Function and Wage Equation Estimation With Heterogeneous Labor: Evidence From a New Matched Employer-Employee Data Set

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Publisher National Bureau of Economic Research
Publisher Registration Direct Access
Topics Human Capital Management Date added 01 Feb 2004
Downloads 11 Format 357.2KB PDF

This paper first describe the 1990 DEED, the most recently constructed matched employer-employee data set for the United States that contains detailed demographic information on workers (most notably, information on education). The data from manufacturing establishments in the 1990 DEED is then used to update and expand on previous findings, using a more limited data set, regarding the measurement of the labor input and theories of wage determination. It is found that the productivity of women is less than that of men, but not by enough to fully explain the gap in wages, a result that is consistent with wage discrimination against women.

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