DALMAZZO, ALBERTO; PEKKARINEN, TUOMAS; SCARAMOZZINO, … - In: Economica 74 (2007) 295, pp. 515-536
We examine the relationship between technological complexity and wage inequality, using an efficiency wage model that adopts Kremer's O-ring production function. The model has two main implications: (i) when the production process becomes more complex, within-task wage differences increase...