We study the productivity-pay relationship in the United States and Canada along two dimensions. The first is … divergence: the degree to which the levels of productivity and pay have diverged. The second is delinkage: the degree to which … incremental increases in the rate of productivity growth translate into incremental increases in the rate of growth of pay …

that contrasts cross-country evidence on agglomeration benefits with the productivity impact of metropolitan governance … lower levels of productivity. The estimated elasticity for an increase in the number of local jurisdiction is 0.06, which is … literature that city productivity increases with city size with an elasticity in the range of 0.02 to 0.05. …