TY  - RPRT
        AU  - Clark, Andrew E.
AU  - Kristensen, Nicolai
AU  - Westergård-Nielsen, Niels C.
        TI  - Job Satisfaction and Co-worker Wages: Status or Signal?
        PY  - 2007/Sep/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 3073
        UR  - https://www.iza.org/index.php/publications/dp3073
        AB  - This paper uses matched employer-employee panel data to show that individual job satisfaction is higher when other workers in the same establishment are better-paid. This runs contrary to a large literature which has found evidence of income comparisons in subjective well-being. We argue that the difference hinges on the nature of the reference group. We here use co-workers. Their wages not only induce jealousy, but also provide a signal about the worker’s own future earnings. Our positive estimated coefficient on others’ wages shows that this positive future earnings signal outweighs any negative status effect. This phenomenon is stronger for men, and in the private sector.
        KW  - comparison income
KW  - co-workers
KW  - tournaments
KW  - wage expectations
KW  - job satisfaction
        ER  -