Home > Publications . Search All . Browse All . Country . Browse PSC Pubs . PSC Report Series

PSC In The News

RSS Feed icon

Smock says cohabitation does not reduce odds of marriage

Smock cited in story on how low marriage rates may exacerbate marriage-status economic inequality

Shapiro says Americans' seemingly volatile spending pattern linked to 'sensible cash management'

Highlights

Susan Murphy named Distinguished University Professor

Sarah Burgard and former PSC trainee Jennifer Ailshire win ASA award for paper

James Jackson to be appointed to NSF's National Science Board

ISR's program in Society, Population, and Environment (SPE) focuses on social change and social issues worldwide.

Next Brown Bag


PSC Brown Bags will return in the fall

Charles C. Brown photo

Firm Ages and Wages.

Publication Abstract

Brown, Charles C., and James Medoff. 2003. "Firm Ages and Wages." Journal of Labor Economics, July.

We analyze the relationship between how long an employer has been in business (firm age) and wages. Using data from special supplements to the Survey Research Center's monthly Survey of Consumers, we find that firms that have been in business longer pay higher wages (as previous studies found), but when we control for worker characteristics, the relationship becomes insignificant or negative. There is some evidence that the relationship is not monotonic, with wages falling and then rising with years in business. Established employers appear to make greater use of back‐loaded compensation, consistent with their higher probability of remaining in business.

Country of focus: United States.

Browse | Search : All Pubs | Next