The Wage Curve: Finnish Evidence

Työpapereita 144 Tuomas Pekkarinen

Abstract

In this paper we study the wage curve with both cross-sectional and pooled Finnish data. Hourly wage is used as a dependent variable throughout the paper as well as a fairly detailed definition of the local labour  market. Results indicate that there exists a relationship similar to downward sloping wage curve in the Finnish data. Results are sensitive to the inclusion of regional fixed effects.