earticle

영어

The purpose of this study is to investigate the productivity differentials and wage gap based upon the size of a firm in Korea. This study uses the past data from 1997 to 2000. In order to estimate the productivity and wage differentials, this study introduces wage equations including human capital variables such as years of education and tenure variable. Then the wage gap can be divided into two part：explained and unexplained gap. According to the empirical results of the study, the wage increases as the size of a firm increases. Futhermore, when the wage gap increases, the portion of explained wage gap decreases.