This week we’ll be hearing Olav Sorenson of Yale University present, “Do startups create good jobs?” The abstract for the paper is below:
We analyze Danish registry data from 1991 to 2006 to determine how firm age and size influence wages. Unadjusted statistics suggest that smaller firms pay less than larger ones and that firm age has no bearing on wages. After adjusting for differences in the characteristics of employees hired by these firms, however, we observe both firm age and firm size effects. We find that larger firms pay more than smaller firms for observationally equivalent individuals but, contrary to conventional wisdom, that younger firms pay more than older firms. Moreover, we find that the size effect dominates the age effect. Thus, while the typical startup – being both young and small – pays less than a more established employer, those that grow rapidly often pay a wage premium.
We will be meeting at 12:10pm at C330 Cheit Hall.
Last week Michael Bikard explained a novel method for identifying simultaneous discoveries in science. He and Matt Marx found that isolated universities are less likely to have their discoveries cited by the patent literature.