Casual empiricism suggests that unwarrantedʺ wage changes, defined as the part of wage growth that is not explained by changes in labour productivity, are negatively associated with the return on capital. The main point of this paper is to show that unwarrantedʺ wage changes have no causal...

Combining the daily productivity records of individual manufacturing workers with stock market data, we find that worker productivity is negatively associated with market overnight returns. This effect is instantaneous, and the economic loss is quantitatively important. Mechanism analysis...

Attention-grabbing stock markets result in workers’ decreased productivity, even if they may not actively trade stocks. Combining individual worker output data from personnel records with stock market data, we find workers’ output is negatively associated with market overnight returns. The...