Results

CEP discussion paper

Is data privacy a losing game? Evidence from Apple's App Tracking Transparency (ATT) policy

We study the impact of Apple's App Tracking Transparency (ATT) policy, which requires apps to obtain explicit user permission before cross-app tracking, on the mobile gaming industry. Using SensorTower US data on the top...Read more...

Journal article

Journal of Industrial Economics:

Asymmetric pass-through and competition

We study the retail price pass-through of four major tax changes in petroleum products using daily pricing data from gas stations on small Greek islands. We find that (i) the pass-through of the tax hikes is five times h...Read more...

CentrePiece article

Remembering our friend and colleague David Metcalf

A widely-admired economist whose work on labour markets led to a number of high-profile roles in public life...Read more...

Journal article

Journal of Labor Economics:

The causal effect of an income shock on children's human capital

We investigate the causal impact of a generous unconditional cash transfer at birth on children's health and academic performance. Using rich administrative data, we take advantage of the unexpected introduction of a ?ba...Read more...

CEP discussion paper

What is the "right" geographic market definition?

This paper examines the "right" geographic definition of relevant markets by analyzing how excise tax pass-through varies with local competition in the retail gasoline market of a large metropolitan city. Using a natural...Read more...

Journal article

International Journal of Industrial Organization:

What is the "right" geographic market definition?

This paper examines the "right" geographic definition of relevant markets by analyzing how excise tax pass-through varies with local competition in the retail gasoline market of a large metropolitan city. Using a natural...Read more...

Journal article

The Energy Journal:

Natural gas vehicles: consequences for fuel markets and the environment

Policies to adopt cleaner fuels have become increasingly important, but their impacts on incumbent fuel prices and resulting greenhouse gas emissions remain unclear. We use a panel dataset on weekly prices at the gas sta...Read more...

Journal article

The Economic Journal:

Manipulation and selection in unemployment insurance

In this paper, we study the selection patterns of individuals who manage to have their lay-off delayed around an age at lay-off threshold entitling them to four additional months of unemployment insurance, that is, manip...Read more...

Journal article

Journal of Development Economics:

The firm-pay gender gap and formal sector churn over the life cycle

We find that women sorting into lower paying firms explains nearly half of the gender pay gap in South Africa. Using matched employer-employee panel data covering the universe of formal workers, we show sorting varies co...Read more...

Journal article

American Economic Review:

Monopsony and employer misoptimization explain why wages bunch at round numbers

We show that administrative hourly wage data exhibit considerable bunching at round numbers. We run two experiments randomizing wages around $0.10 and $1.00 to experimentally measure left-digit bias for identical tasks o...Read more...

Journal article

The Economic Journal:

Monopsony and the wage effects of migration

If labour markets are competitive, migration can only affect native wages via marginal products. But under imperfect competition, migration may also increase wage mark-downs ? if firms have greater monopsony power over m...Read more...

Journal article

The Economic Journal:

Employer screening and optimal unemployment insurance

Field experiments show that employers are less likely to consider long-term unemployed job-seekers for interviews. We study the implications for optimal unemployment insurance (UI). Based on a structural model of job sea...Read more...

Journal article

International Journal of Industrial Organization:

VAT pass-through and competition: evidence from the Greek islands

We examine how competition affects VAT pass-through in isolated oligopolistic markets as defined by the Greek islands. Using daily gasoline prices and a difference-in-differences methodology, we investigate how changes i...Read more...

Journal article

Oxford Review of Economic Policy:

Ethnic minority and migrant pay gaps over the life-cycle

It is well-known that ethnic minority and migrant workers have lower average pay than the White UK-born workforce. However, we know much less about how these gaps vary over the life-cycle because of data limitations. We ...Read more...

Journal article

Journal of Economic Literature:

Temporary employment in markets with frictions

Temporary employment has spiked in OECD countries over the last 40 years and is now a common feature of their labor market landscape. A large body of empirical literature examines the spread of temporary employment, but ...Read more...

CEP discussion paper

Asymmetric pass-through and competition

We study the retail price pass-through of four major tax changes in petroleum products using daily pricing data from gas stations on small Greek islands. We find that (i) the pass-through of the tax hikes is five times h...Read more...

Journal article

British Journal of Industrial Relations:

Pay transparency intervention and the gender pay gap: evidence from research-intensive universities in the UK

This study investigates the impact of a pay transparency intervention in reducing the gender pay gap in the UK university sector. Introduced in 2007, the initiative enabled public access to average annual earnings disagg...Read more...

Journal article

Econometrica:

A Comment on: "Walras-Bowley Lecture: Market power and wage inequality" by Shubhdeep Deb, Jan Eeckhout, Aseem Patel, and Lawrence Warren

A burgeoning literature in labor economics is focused on modeling employer labor market power, generally finding nontrivial estimates of monopsony power. A smaller literature also simultaneously incorporates product mark...Read more...

Journal article

American Economic Journal: Applied Economics:

Measuring absolute income mobility: lessons from North America and Europe

We use linked parent-child administrative data for five countries in North America and Europe, as well as detailed survey data for two more, to investigate methodological challenges in the estimation of absolute income m...Read more...

Journal article

The Economic Journal:

Immigration, female labour supply and local cultural norms

We study the local evolution of female labour supply and cultural norms in West Germany in reaction to the sudden presence of East Germans who migrated to the West after reunification. These migrants grew up with high ra...Read more...

Blog

LSE British Politics and Policy:

The persisting pay gap and the motherhood penalty

Despite progress in gender equality, the pay gap continues to be a major challenge. Policymakers are yet to understand the nuances and intricate mechanics of why women's earnings take a hit after they become mothers, arg...Read more...

Chapter

Women's representation and the gender pay gap: rank, institutional research intensity and ethnicity in UK business schools

in Research Handbook on Inequalities and Work

We employ a multi-faceted framework to explore the importance of women's representation to the gender pay gap (GPG) in all UK business schools to analyse an authoritative and complete administrative sample from the Highe...Read more...

CEP discussion paper

The social footprint of globalization: towards the introduction of strategic industries in quantitative trade models

We argue that our understanding of industrial policy in the presence of 'strategic' industries that exert positive externalities on the national economy may benefit from an extension of quantitative general equilibrium t...Read more...

Journal article

PLoS ONE :

Access to digital finance: Equity crowdfunding across countries and platforms

Financing entrepreneurship spurs innovation and economic growth. Digital financial platforms that crowdfund equity for entrepreneurs have emerged globally, yet they remain poorly understood. We model equity crowdfunding ...Read more...

Journal article

Journal of Economic Geography:

Pay-as-they-get-in: attitudes toward migrants and pension systems

We study whether a better knowledge of the functioning of pay-as-you-go (PAYG) pension systems and recent demographic trends affects natives? attitudes toward immigration. In two online experiments conducted in Italy and...Read more...

Journal article

Spatial Economic Analysis:

The social footprint of globalisation: towards the introduction of strategic industries in quantitative trade models

We argue that our understanding of industrial policy in the presence of `strategic? industries that exert positive externalities on the national economy may benefit from an extension of quantitative general equilibrium t...Read more...

Journal article

American Economic Review :

The impact of regulation on innovation

We present a framework that can be used to assess the equilibrium impact of regulation on endogenous innovation with heterogeneous firms. We implement this model using French firm-level panel data, where there is a sharp...Read more...

Journal article

Journal of Economic Perspectives:

The evolution of work from home

Full days worked at home account for 28 percent of paid workdays among Americans 20?64 years old, as of mid-2023. That's about four times the 2019 rate and ten times the rate in the mid-1990s. We first explain why the bi...Read more...

Journal article

Journal of Public Economics:

Estimating students' valuation for college experiences

Quantifying the consumption value of college - the utility students derive from in-person instruction and on-campus social activities - has been challenging. We leverage the COVID-19 shock to elicit students' intended li...Read more...

Journal article

The Economic Journal:

Unraveling firms: demand, productivity and markups heterogeneity

We develop a novel framework that simultaneously allows recovering heterogeneity in demand, quantity TFP and markups across firms while leaving the correlation between the three dimensions unrestricted. We accomplish thi...Read more...

CEP discussion paper

VAT pass-through and competition: evidence from the Greek Islands

We examine how competition affects VAT pass-through in isolated oligopolistic markets as defined by the Greek islands. Using daily gasoline prices and a difference-in-differences methodology, we investigate how changes i...Read more...

Journal article

AEA Papers and Proceedings:

The local labor market effects of modern manufacturing capital: evidence from France

Using an event study methodology and comprehensive micro data from the French manufacturing sector, we analyze the local labor market effects of investments in modern manufacturing capital, including modern automation te...Read more...

CEP discussion paper

Pay-as-they-get-in: attitudes towards migrants and pension systems

We study whether a better knowledge of the functioning of pay-as-you-go pension systems and recent demographic trends in the hosting country affects natives' attitudes towards immigration. In two online experiments in It...Read more...

Journal article

American Economic Journal: Applied Economics :

Competition and pass-through: evidence from isolated markets

We measure how pass-through varies with competition in isolated oligopolistic markets with captive consumers. Using daily pricing data from gas stations on small Greek islands, we study how unanticipated and exogenous ch...Read more...

Journal article

Review of Economics and Statistics :

Ask a local: improving the public pricing of land titles in urban Tanzania

Information on willingness-to-pay is key for public pricing and allocation of services but not easily collected. Studying land titles in Dar-es-Salaam, we ask whether local leaders know and will reveal plot owners' willi...Read more...

CEP discussion paper

Company wage policy in a low-wage labor market

We study how firms set wages for their employees when they can legally age discriminate across workers. We exploit an age-specific minimum wage change in the UK, which raised the minimum applying to workers aged 25 and o...Read more...

Blog

LSE Business Review:

Low pay and insecurity in the UK labour market

Minimum wage increases have driven down the incidence of low hourly pay, but there has been much less progress elsewhere for low earners. Low pay is widespread among the self-employed, who do not benefit from the minimum...Read more...

CEP discussion paper

Ask a local: improving the public pricing of land titles in urban Tanzania

Information on willingness-to-pay is key for public pricing and allocation of services but not easily collected. Studying land titles in Dar-es-Salaam, we ask whether local leaders know and will reveal plot owners' willi...Read more...

Journal article

Management Science:

Building a productive workforce: the role of structured management practices

In an influential study, Bender et al. [Bender S, Bloom N, Card D, Van Reenen J, Wolter S (2018) Management practices, workforce selection, and productivity. J. Labor Econom. 36(S1):S371-S409] document consistent relatio...Read more...

CEP discussion paper

Have productivity and pay decoupled in the UK?

In the long-run at the macro level, the real pay of workers tends to follow labour productivity. In recent years, however, there have been concerns that this relationship has broken down and that pay has become "decouple...Read more...

CentrePiece article

In brief... UK gender pay gap reporting: a crude but effective policy

Forcing employers to reveal their gender pay gap has been effective in its main goal of narrowing the gap, according to research by Jack Blundell who finds the difference between women and men's pay has shrunk by just un...Read more...

Journal article

Landscape and Urban Planning:

Urban green is more than the absence of city: structural and functional neural basis of urbanicity and green space in the neighbourhood of older adults

The relationship between urbanization, the brain, and human mental health is subject to intensive debate in the current scientific literature. Particularly, since mood and anxiety disorders as well as schizophrenia are k...Read more...

Journal article

Journal of the European Economic Association:

CEO pay and the rise of relative performance contracts: a question of governance?

We exploit the large rise in relative performance awards in the United Kingdom over the last two decades to investigate whether these contracts improve the alignment between CEO pay and firm performance. We first documen...Read more...

CentrePiece article

Ethnic minorities and the UK labour market

Contrary to the impression given by the Sewell Report, there has been little change in disparities in pay, employment and unemployment among different ethnic groups in the UK over the past 25 years. Indeed, as analysis o...Read more...

Journal article

Journal of the European Economic Association:

Organizing global supply chains: input-output linkages and vertical integration

We study how the technological importance of inputs?measured by cost shares?is related to the decision to ?make? or ?buy? that input. Using detailed French international trade data and an instrumental variable approach b...Read more...

Blog

Economics Observatory:

Update: How is coronavirus affecting the self-employed?

A year into the Covid-19 crisis, it is widely recognised that the UK's self-employed workers have been among the hardest hit. Survey evidence shows that the latest lockdown is once again leaving the self-employed with lo...Read more...

Blog

LSE Business Review:

UK gender pay gap reporting: a crude but effective policy?

Forcing employers to reveal their gender pay gap has been effective in its main goal of narrowing the gap. The difference between women's and men's pay has shrunk by just under a fifth at affected employers. Jack Blundel...Read more...

CEP discussion paper

Wage responses to gender pay gap reporting requirements

In this paper I study a policy in which employers are required to publicly report gender pay gap statistics. Proponents argue that increasing the information available to workers and consumers places pressure on firms to...Read more...

Journal article

The Journal of Law, Economics, and Organization:

In-house and arms length: productivity heterogeneity and variation in organizational form

This paper analyzes firm boundaries in the US hotel industry. Hotel properties of a given brand are often managed either by a chain employee or by a franchisee. We document that brand properties with the lowest and the h...Read more...

CEP discussion paper

Prime locations

We harness big data to detect prime locations - large clusters of knowledge-based tradable services - in 125 global cities and track changes in the within-city geography of prime service jobs over a century. Historically...Read more...

Journal article

Labour Economics:

Gender gaps and the structure of local labor markets

In this paper we discuss some strands of the recent literature on the evolution of gender gaps and their driving forces. We will revisit key stylized facts about gender gaps in employment and wages in a few high-income c...Read more...

Journal article

Journal of Economic Perspectives:

Place-based policies and spatial disparities across European cities

Spatial disparities in income and worklessness across areas of the European Union are profound and persistent. Concerns about these disparities and the appropriate policy response are longstanding. Two trends have re-ene...Read more...

CEP discussion paper

A survey of gender gaps through the lens of the industry structure and local labor markets

In this paper we discuss some strands of the recent literature on the evolution of gender gaps and their driving forces. We will revisit key stylized facts about gender gaps in employment and wages in a few high-income c...Read more...

CEP discussion paper

The motivational cost of inequality: pay gaps reduce the willingness to pursue rewards

Factors beyond a person?s control, such as demographic characteristics at birth, often influence the availability of rewards an individual can expect for their efforts. We know surprisingly little how such pay-gaps due t...Read more...

CentrePiece article

The gig economy and workers' preferences for steady jobs

Is the rise of gig work, freelancing, zero hours contracts and self-employment a result of people wanting such work or because they have no other choice? Nikhil Datta finds that while workers in the gig economy may like ...Read more...

CEP discussion paper

Competition and pass-through: evidence from isolated markets

We measure how pass-through varies with competition in isolated oligopolistic markets with captive consumers. Using daily pricing data from gas stations on small Greek islands, we study how unanticipated and exogenous ch...Read more...

CEP discussion paper

Retail shocks and city structure

This paper evaluates the consequences of opening out-of-town big-boxes on the commercial structure of cities. I use a discontinuity in a commercial regulation in Spain that restricts the entry of big-box stores in munici...Read more...

CEP discussion paper

Willing to pay for security: a discrete choice experiment to analyse labour supply preferences

This paper investigates the extent to which labour supply preferences are responsible for the marked rise in atypical work arrangements in the UK and US. By employing vignettes in a discrete job choice experiment in a re...Read more...

CEP discussion paper

Technology, market structure and the gains from trade

We study the gains from trade in a new model with oligopolistic competition, firm heterogeneity, and innovation. Lowering trade costs reduces markups on domestic sales but increases markups on export sales, as firms do n...Read more...

CEP discussion paper

In-house and arms length: productivity heterogeneity and variation in organizational form

This paper analyzes how firms are organized in the U.S. hotel management industry. For most hotel brands, properties with intermediate room occupancy rates are relatively more likely to be managed by company employees ra...Read more...

Journal article

Journal of Public Economics:

Does competition from private surgical centres improve public hospitals? performance? Evidence from the English National Health Service

This paper examines the impact of a government programme which facilitated the entry of for-profit surgical centres to compete against incumbent National Health Service hospitals in England. We examine the impact of comp...Read more...

CentrePiece article

Care homes: effects of the National Living Wage

The National Living Wage, which was introduced in 2016, has substantially raised wages at the bottom of the hourly wage distribution in care homes in England, a sector that employs a large number of low-paid workers. Acc...Read more...

CEP discussion paper

Changing the structure of minimum wages: firm adjustment and wage spillovers

This paper analyses the economic impact of a significant change to the structure of a minimum wage setting policy. The context is the United Kingdom where government mandated an unexpected change in the structure of mini...Read more...

Journal article

Economic Policy:

Evaluating market consolidation in mobile communications

We study the dual relationship between market structure and prices and between market structure and investment in mobile telecommunications. Using a uniquely constructed panel of mobile operators' prices and accounting i...Read more...

Journal article

Journal of Economic Perspectives:

The economic consequences of family policies: lessons from a century of legislation in high-income countries

By the early 21st century, most high-income countries have put into effect a host of generous and virtually gender-neutral parental leave policies and family benefits, with the multiple goals of gender equity, higher fer...Read more...

Journal article

Labour Economics:

Top earnings inequality and the gender pay gap: Canada, Sweden, and the United Kingdom

This paper explores the consequences of the under-representation of women in top jobs for the overall gender pay gap. Using administrative annual earnings data from Canada, Sweden, and the United Kingdom, it applies the ...Read more...

CEP discussion paper

Evaluating market consolidation in mobile communications

We study the dual relationship between market structure and prices and between market structure and investment in mobile telecommunications. Using a uniquely constructed panel of mobile operators? prices and accounting i...Read more...

Blog

ESRC blog:

How English care homes have coped with the National Living Wage

Giulia Giupponi is an ESRC-funded PhD student at the London School of Economics and a research assistant at the Centre for Economic Performance. Stephen Machin is Professor of Economics at the London School of Economics ...Read more...

Journal article

Applied Economics Letters:

Industrial structure and preferences for a common currency ? the case of the EURO referendum in Sweden

Attitudes for a common currency differ from nation to nation, or from region to region. We analyse regionally differing voting results of a referendum held in Sweden in lieu of joining the European Monetary Union. We put...Read more...

Journal article

Annual Review of Economics:

The evolution of gender gaps in industrialized countries

Women in developed economies have made major advancements in labor markets throughout the past century, but remaining gender differences in pay and employment seem remarkably persistent. This article documents long-run t...Read more...

Journal article

The Economic Journal:

Tariffs, trade and productivity: a quantitative evaluation of heterogeneous firm models

We examine the quantitative predictions of heterogeneous firm in the context of the Canada?US Free Trade Agreement (CUSFTA) of 1989. We compute predicted increases in trade flows and measured productivity and compare the...Read more...

SERC/Urban and Spatial Programme Discussion Paper

Traffic Externalities and Housing Prices: Evidence from the London Congestion Charge

This study exploits the introduction of the London Congestion Charge (CC) that greatly improves traffic conditions in Central London to provide new evidence on the capitalization of traffic externalities onto housing val...Read more...

CEP discussion paper

CEO pay and the rise of relative performance contracts: a question of governance?

Would moving to relative performance contracts improve the alignment between CEO pay and performance? To address this, we exploit the large rise in relative performance awards and the share of equity pay in the UK over ...Read more...

CEP discussion paper

Does competition from private surgical centres improve public hospitals' performance? Evidence from the English National Health Service

This paper examines the impact of competition from government-facilitated entry of private, specialty surgical centres on the efficiency and case mix of incumbent public hospitals within the English NHS. We exploit the f...Read more...

Journal article

Science:

Inequality in mortality decreased among the young while increasing for older adults, 1990-2010

Many recent studies point to increasing inequality in mortality in the United States over the past 20 years. These studies often use mortality rates in middle and old age. We used poverty level rankings of groups of U.S....Read more...

SERC/Urban and Spatial Programme Discussion Paper

Building the City: Urban Transition and Institutional Frictions

We model the building of a city, estimate parameters of the model, and calculate welfare losses from institutional frictions encountered in changing land-use. We distinguish formal and slum construction technologies; in ...Read more...

CEP discussion paper

The evolution of gender gaps in industrialized countries

Women in developed economies have made major inroads in labor markets throughout the past century, but remaining gender differences in pay and employment seem remarkably persistent. This paper documents long-run trends i...Read more...

Journal article

American Economic Journal: Applied Economics:

The contribution of the minimum wage to US wage inequality over three decades: a reassessment

We reassess the effect of minimum wages on US earnings inequality using additional decades of data and an IV strategy that addresses potential biases in prior work. We find that the minimum wage reduces inequality in the...Read more...

CEP discussion paper

The price ain't right? Hospital prices and health spending on the privately insured

We use insurance claims data covering 28 percent of individuals with employer-sponsored health insurance in the US to study the variation in health spending on the privately insured, examine the structure of insurer-hosp...Read more...

CentrePiece article

In brief... Oil: the impact on women's work

Stephan Maurer and Andrei Potlogea explore whether oil-dominated economies are naturally biased against women's labour market participation....Read more...

CEP discussion paper

Has performance pay increased wage inequality in Britain?

Using data from the British Household Panel Survey (BHPS) we show performance pay (PP) increased earnings dispersion among men and women, and to a lesser extent among full-time working women, in the decade of economic gr...Read more...

CEP election analysis

Health: How Will the NHS Fare in a Cold Climate?

With the NHS a central issue of the 2015 general election, the parties are debating funding, the form of provision, quality and productivity. This paper looks at the NHS record under the coalition government and consider...Read more...

CEP discussion paper

Do women earn less even as social entrepreneurs?

Based upon unique survey data collected using respondent driven sampling methods, we investigate whether there is a gender pay gap among social entrepreneurs in the UK. We find that women as social entrepreneurs earn 29%...Read more...

CEP discussion paper

Fueling the gender gap? Oil and women's labor and marriage market outcomes

This paper analyzes the effect of resource-based economic specialization on women's labor market outcomes. Using information on the location and discovery of major oil fields in the Southern United States coupled with a ...Read more...

CEP discussion paper

Are firms paying more for performance?

Despite its potential to raise productivity, performance-related-pay (PRP) is not widespread in market-oriented economies. Furthermore, despite secular changes conducive to its take-up, there is mixed evidence as to whet...Read more...

Journal article

American Economic Review:

Monopolistic competition and optimum product selection

We provide novel insights on the decentralization of optimal outcomes under monopolistic competition with nonseparable utility, variable demand elasticity, and endogenous firm heterogeneity. Relative to the unconstrained...Read more...

Journal article

American Economic Review:

Market size, competition, and the product mix of exporters

We build a theoretical model of multi-product firms that highlights how competition across market destinations affects both a firm's exported product range and product mix. We show how tougher competition in an export ma...Read more...

CEP occasional paper

Extreme wage inequality: pay at the very top

We provide new evidence on the growth in pay at the very top of the wage distribution in the UK. Sectoral decompositions show that workers in the financial sector have accounted for the majority of the gains at the top o...Read more...

CentrePiece article

Are public sector employees overcompensated?

Alexander Danzer and Peter Dolton use the concept of 'total reward' to assess whether public sector pay and pensions are too high relative to the private sector....Read more...

CentrePiece article

In brief... UK chief executives: paid for performance?

Does it matter whether you work for a successful company? And if so, does it matter who you are? To answer these questions we construct a unique panel dataset covering the pay of all CEOs, senior managers and a fully rep...Read more...

CEP discussion paper

Matching Firms, Managers, and Incentives

We exploit a unique combination of administrative sources and survey data to study the match between firms and managers. The data includes manager characteristics, such as risk aversion and talent; firm characteristics, ...Read more...

CEP discussion paper

Does Competition Improve Public Hospitals' Efficiency? Evidence from a Quasi-Experiment in the English National Health Service

This paper uses a difference-in-difference style estimation strategy to test separately the impact of competition from public sector and private sector hospitals on the efficiency of public hospitals. Our identification ...Read more...

CEP discussion paper

Paying for Performance: Incentive Pay Schemes and Employees' Financial Participation

We present new comparable data on the incidence of performance pay schemes in Europe and the USA. We find that the percentage of employees exposed to incentive pay schemes ranges from around 10-15 percent in some Europea...Read more...

Government consultation

BIS - Executive Remuneration Discussion Paper

Read more...

CEP discussion paper

Does High Involvement Management Improve Worker Wellbeing?

Employees exposed to high involvement management (HIM) practices have higher subjective wellbeing, fewer accidents but more short absence spells than ?like? employees not exposed to HIM. These results are robust to exten...Read more...

CEP discussion paper

Gender Gaps Across Countries and Skills: Supply, Demand and the Industry Structure

The gender wage gap varies widely across countries and across skill groups within countries. Interestingly, there is a positive cross-country correlation between the unskilled- to-skilled gender wage gap and the correspo...Read more...

CEP discussion paper

In Search of a Theory of Debt Management

A growing literature integrates debt management into models of optimal fiscal policy. One promising theory argues the composition of government debt should be chosen so that fluctuations in its market value offsets chang...Read more...

CentrePiece article

Teachers' pay and pupil performance

If you pay peanuts, do you get monkeys? If teachers were better paid and higher up the national income distribution, would there be an improvement in pupil performance? Peter Dolton and Oscar Marcenaro-Gutierrez examine ...Read more...

CEP discussion paper

A Simple Theory of Managerial Talent, Pay Contracts and Wage Distribution

This paper develops a simple theory of pay structures and pay levels across heterogeneous agents by bringing together optimal contracts inside the firm and competitive resource allocation in the market. The central idea ...Read more...

CEP discussion paper

Managerial Incentives and Compensation in a Global Market

This paper embeds a principal-agent firm in an otherwise standard trade model a la Melitz (2003) to investigate the impact of globalization on the provision of managerial incentives and on the distribution of managerial ...Read more...