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Author:Rebtizer, J.
Title:Is there a trade-off between supervision and wages? An empirical test of efficiency wage theory
Journal:Journal of Economic Behavior and Organization
1995 : SEP, VOL. 28:1, p. 107-130
Index terms:EFFICIENCY
PAY
SUPERVISION
Language:eng
Abstract:The logic of efficiency wage theory suggests a trade-off between wages and supervision. This paper reports evidence that high levels of supervision are indeed associated with lower wage levels. The empirical investigation centers on the effect that safety supervision by host employers has on the wages of contract maintenance workers in the petrochemical industry. This narrow focus is important. Special institutional features of the contract employment relationships in petrochemicals make it possible to ameliorate econometric problems that may have influenced earlier studies.
SCIMA record nr: 142228
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