The productivity-wage premium

Abstract

This document has been prepared by Giuseppe Berlingieri, Sara Calligaris and Chiara Criscuolo from the Productivity and Business Dynamics (PBD) Division of the OECD Directorate for Science, Technology and Innovation (STI). This draft has benefited from helpful suggestions and feedback from Dirk Pilat, Alexander Hijzen and Isaac Sorkin, as well as WPIA and CIIE delegates, and seminar participants at the AEA Annual Meeting, OECD, and Paris School of Economics. Rudy Verlhac and Isabelle Desnoyers-James provided excellent assistance with the metadata. OECD Working Papers should not be reported as representing the official views of the OECD or of its member countries. The opinions expressed and arguments employed are those of the authors. Working Papers describe preliminary results or research in progress by the authors and are published to stimulate discussion on a broad range of issues on which the OECD works. Comments on

Scale, market power and competition in a digital world

“…We do see sizeable coefficients in other studies, however. For example, Berlingieri et al (2018a) found dummy values in excess of 1 for large manufacturing firms (250+ employees) in their data. It is interesting to note that the values from Regression 3 with industry-year fixed effects are more similar to those from Regression 1 than was the case for mark-ups.…”