Replication data for: Firms and the Decline in Earnings Inequality in Brazil

Principal Investigator(s): View help for Principal Investigator(s) Jorge Alvarez; Felipe Benguria; Niklas Engbom; Christian Moser

Version: View help for Version V1

Name	File Type	Size	Last Modified
MAC2015-0355_data			12/03/2019 10:38:AM
LICENSE.txt	text/plain	14.6 KB	12/03/2019 05:38:AM

Project Citation:

Project Description

Summary: We document a large decrease in earnings inequality in Brazil between 1996 and 2012. Using administrative linked employer-employee data, we fit high-dimensional worker and firm fixed-effects models to understand the sources of this decrease. Firm effects account for 40 percent of the total decrease and worker effects for 29 percent. Changes in observable worker and firm characteristics contributed little to these trends. Instead, the decrease is primarily due to a compression of returns to these characteristics, particularly a declining firm productivity-pay premium. Our results shed light on potential drivers of earnings inequality dynamics.

Scope of Project

JEL Classification:
      D22 Firm Behavior: Empirical Analysis
      D63 Equity, Justice, Inequality, and Other Normative Criteria and Measurement
      J24 Human Capital; Skills; Occupational Choice; Labor Productivity
      J31 Wage Level and Structure; Wage Differentials
      L25 Firm Performance: Size, Diversification, and Scope
      M52 Personnel Economics: Compensation and Compensation Methods and Their Effects
      O15 Economic Development: Human Resources; Human Development; Income Distribution; Migration

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Published Versions

V1 [2019-12-03]

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Dublin Core

DDI 2.5

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