Does wage compression explain rigid money wages?

Gylfi Zoega*, Thorlakur Karlsson

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

5 Citations (Scopus)


We use a survey of CEOs to show that the causes of wage rigidity and the causes of wage compression within firms are interlinked in that the proposed explanations for the latter also provide an explanation for the former.

Original languageEnglish
Pages (from-to)111-115
Number of pages5
JournalEconomics Letters
Issue number1
Publication statusPublished - Oct 2006

Other keywords

  • Wage compression
  • Wage rigidity


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