Performance pay and assortative matching

Keith A. Bender; Colin P. Green; John S. Heywood

doi:10.1111/sjpe.12232

Performance pay and assortative matching

Keith A. Bender, Colin P. Green, John S. Heywood (Corresponding Author)

Economics

Research output: Contribution to journal › Article

Abstract

We show that couples sort on performance pay with dual receipt couples much more likely than predicted by random. In addition, we show that the return to performance pay appears largely invariant to whether or not one's spouse earns performance pay. This implies that the distribution of family income will be less equitable than that of individual income as sorting concentrates the performance pay return among households with higher pay.

Original language	English
Journal	Scottish Journal of Political Economy
Early online date	25 Sep 2019
DOIs	https://doi.org/10.1111/sjpe.12232
Publication status	E-pub ahead of print - 25 Sep 2019

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Keywords

performance pay
assortative matching

ASJC Scopus subject areas

Economics and Econometrics
Sociology and Political Science

Cite this

Bender, K. A., Green, C. P., & Heywood, J. S. (2019). Performance pay and assortative matching. Scottish Journal of Political Economy. https://doi.org/10.1111/sjpe.12232

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