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A comparative analysis of inter-industry wage differentials: before and after the Korean financial crisis

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Korean economy has changed rapidly since the 1997 Korean financial crisis. This article investigates whether the inter-industry wage differentials in the Korean manufacturing industry are consistent over time and how the inter-industry wage structure has changed after the financial crisis. We used the 1995 and 1999 survey report on the wage structure-Korea. Our empirical results provide evidences for a wider inter-industry wage differentials and changes of the wage structure. After the crisis, company size, region (live in capital), sex, tenure, education are more critical to determine wages. According to factor analysis, the job quality factor is most closely related to wages before the crisis, while the industry attributes factor does in 1999.
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Document Type: Research Article

Affiliations: 1: School of Economics, University of Seoul, Seoul 130-743, South Korea 2: Korea Economics Research Institute, Seoul 150-756, South Korea 3: Department of Computer Engineering, Hallym University, Gangwon-do 200-702, South Korea

Publication date: 2007-06-01

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