Arbeitspapier

Multitasking and Wages

This paper sheds light on how changes in the organization of work can help to understand increasing wage inequality. We present a theoretical model in which workers with a wider span of competence (higher level of multitasking) earn a wage premium. Since abilities and opportunities to expand the span of competence are distributed unequally among workers across and within education groups, our theory helps to explain (1) rising wage inequality between groups, and (2) rising wage inequality within groups. Under certain assumptions, it also helps to explain (3) the polarization of the income distribution. Using a rich German data set covering a 20-year period from 1986 to 2006, we provide empirical support for our model.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 4307

Classification
Wirtschaft
Wage Level and Structure; Wage Differentials
Human Capital; Skills; Occupational Choice; Labor Productivity
Organization of Production
Subject
wage inequality
multitasking
tasks
organizational change

Event
Geistige Schöpfung
(who)
Görlich, Dennis
Snower, Dennis J.
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2013

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Görlich, Dennis
  • Snower, Dennis J.
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2013

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