We incorporate culture into a standard trade model in two distinct ways. In the ¡°cultural affinity from work¡± model, workers receive a non- pecuniary cultural benefit from work in a particular industry. In the ¡°cultural externality¡± model, consumers of a product receive utility from...

The objective of the paper is to answer an often-asked question : if tariff rates are reduced, what will happen to wage inequality ? We consider two types of wage inequality : between occupations (skills premium), and between industries. We use two large data bases of wage inequality that have...

The objective of the paper is to answer an often-asked question : if tariff rates are reduced, what will happen to wage inequality ? We consider two types of wage inequality : between occupations (skills premium), and between industries. We use two large data bases of wage inequality that have...

This paper examines the associations between obesity, employment status and wages for several European countries. Our results provide weak evidence that obese workers are more likely to be unemployed or tend to be more segregated in self-employment jobs than their non-obese counterparts. We also...

In this paper, I examine the impact of employer-provided health benefits on job turnover. Because many employer-provided plans extend coverage to a worker's entire family, the value of an employer's employment offer to a worker depends on whether the worker's spouse provides the family with...

I explore the nature of optimal static and dynamic contracts in an environment with moral hazard, where individuals contracting with the same principal receive correlated productivity shocks. The environment resembles the one considered in relative compensation theory ( i.e tournament theory),...

Using the rich data from the National Longitudinal Survey of Youth, we show that several dimensions of college quality have positive impacts on young women's wages. We find evidence of ability sorting, but controlling for ability, women who attend higher quality colleges earn higher wages. Women...

Using the rich data from the National Longitudinal Survey of Youth, we show that several dimensions of college quality have substantial positive impacts on young men's wages. This finding is robust to a wide array of alternative specifications. Controlling for ability reveals that sorting of...

We examine the possible sources of the larger racial and ethnic wage gaps for men than for women in the U.S. Specifically, using a newly created employer-employee matched data set containing workers in essentially all occupations, industries, and regions, we examine whether these wage...

Icelandic university teachers, the Ministry of Finance and the University of Iceland have been conducting an interesting experiment by changing the form of remuneration of university teachers in a fundamental way. This paper accounts for the development of university teachers salaries the last...