Does Wage Inequality Affect Labor Productivity? Some Evidence from Manufacturing Industries of Taiwan and South Korea

Jeng Liu

《Asia Pacific Management Review》 7卷4期 (2002/12) Pp. 449-475

並列摘要

We investigate the effects of wage inequality on labor productivity in manufacturing industries. Two particular types of wage inequality are considered: relative deprivation and efficiency wages. Using Taiwanese data from 1979 to 1996 and Korean data from 1993 to 1996, our results indicate that relative deprivation has a highly negative effect on industrial productivity while the effect of efficiency wages is not statistically significant. Although many studies by labor economists have focused on efficiency wages, our findings underscore the importance of relative deprivation. The results also generally consistent with the view that, in order to maintain high productivity, manufacturing firms must be concerned with the social legitimacy of their wage distributions.

並列關鍵字

wage inequality ； labor productivity ； relative deprivation ； efficiency wages

參考文獻

Akerlof, G. A.(1984).Gift Exchange and Efficiency-Wage Theory: Four Views.American Economic Review.74

Akerlof, G. A., Yellen, J. L.(1986).Efficiency Wage Model of the Labor Market.New York:Cambridge University Press.

Akerlof, G. A., Yellen, J. L.(1990).The Fair Wage-Effort Hypothesis and Unemployment.Quarterly Journal of Economics.105

Alston, J. P.(1989).The American Samurai.New York:de Gruyter.

Alves, W., Rossi, P.(1978).Who Should Get What? Fairness Judgments of the Distribution of Earnings.American Journal of Sociology.84