What Price the Moral High Ground? by Robert H. Frank
Author:Robert H. Frank
Language: eng
Format: epub
Publisher: Princeton University Press
Published: 2014-02-27T16:00:00+00:00
DISCRIMINATING BETWEEN THE FAIRNESS AND LOCAL-STATUS MODELS
Wage Compression versus Intensity of Co-worker Interaction
One testable implication of the local-status model is that wage compression will increase with the degree of interaction among co-workers. After all, even someone who cared a great deal about local status would not be willing to pay much for a high-ranked position in a group in which co-workers seldom interacted with one another.
TABLE 6.1
Pay Compression vs. Intensity of Interaction
Occupation
Pay Increase per Additional Dollar of Profit Generated
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