Non-linear effects of comparison income in quit decisions: status versus signal !

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Non-linear effects of comparison income in quit decisions: status versus signal ! / Pfeifer, Christian; Schneck, Stefan.
In: Labour - Review of labour economics and industrial relations, Vol. 26, No. 3, 09.2012, p. 356-368.

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@article{ef6798a735624fc1a6efbd58e2a0e755,
title = "Non-linear effects of comparison income in quit decisions: status versus signal !",
abstract = "This research note utilizes German matched employer–employee data to investigate the relationship between mobility and relative wage positions within establishments for workers without university degrees. The main innovation involves the examination of non‐linear effects, because previous literature mainly analyses mean linear effects. Our random‐effects probit estimates of mobility suggest a non‐linear U‐shaped effect with respect to relative standing. This is plausible because workers in low relative wage positions might quit because of their low status and those in high relative wage positions because of their low career advancement opportunities. Consideration of non‐linearities, thus, is a major improvement for the analysis of the effects of relative wage positions.",
keywords = "Economics",
author = "Christian Pfeifer and Stefan Schneck",
year = "2012",
month = sep,
doi = "10.1111/j.1467-9914.2012.00549.x",
language = "English",
volume = "26",
pages = "356--368",
journal = "Labour - Review of labour economics and industrial relations",
issn = "1121-7081",
publisher = "Wiley-Blackwell Publishing, Inc.",
number = "3",

}

RIS

TY - JOUR

T1 - Non-linear effects of comparison income in quit decisions: status versus signal !

AU - Pfeifer, Christian

AU - Schneck, Stefan

PY - 2012/9

Y1 - 2012/9

N2 - This research note utilizes German matched employer–employee data to investigate the relationship between mobility and relative wage positions within establishments for workers without university degrees. The main innovation involves the examination of non‐linear effects, because previous literature mainly analyses mean linear effects. Our random‐effects probit estimates of mobility suggest a non‐linear U‐shaped effect with respect to relative standing. This is plausible because workers in low relative wage positions might quit because of their low status and those in high relative wage positions because of their low career advancement opportunities. Consideration of non‐linearities, thus, is a major improvement for the analysis of the effects of relative wage positions.

AB - This research note utilizes German matched employer–employee data to investigate the relationship between mobility and relative wage positions within establishments for workers without university degrees. The main innovation involves the examination of non‐linear effects, because previous literature mainly analyses mean linear effects. Our random‐effects probit estimates of mobility suggest a non‐linear U‐shaped effect with respect to relative standing. This is plausible because workers in low relative wage positions might quit because of their low status and those in high relative wage positions because of their low career advancement opportunities. Consideration of non‐linearities, thus, is a major improvement for the analysis of the effects of relative wage positions.

KW - Economics

UR - http://www.scopus.com/inward/record.url?scp=84865304300&partnerID=8YFLogxK

U2 - 10.1111/j.1467-9914.2012.00549.x

DO - 10.1111/j.1467-9914.2012.00549.x

M3 - Journal articles

VL - 26

SP - 356

EP - 368

JO - Labour - Review of labour economics and industrial relations

JF - Labour - Review of labour economics and industrial relations

SN - 1121-7081

IS - 3

ER -