@TechReport{iza:izadps:dp2850,
            	author={Lemieux, Thomas and MacLeod, W. Bentley and Parent, Daniel},
            	title={Performance Pay and Wage Inequality},
            	year={2007},
	month={Jun},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={2850},
            	url={https://www.iza.org/publications/dp2850},
	abstract={We document that an increasing fraction of jobs in the U.S. labor market explicitly pay workers for their performance using bonuses, commissions, or piece-rates. We find that compensation in performance-pay jobs is more closely tied to both observed (by the econometrician) and unobserved productive characteristics of workers. Moreover, the growing incidence of performance-pay can explain 24 percent of the growth in the variance of male wages between the late 1970s and the early 1990s, and accounts for nearly all of the top-end growth in wage dispersion (above the 80th percentile).},
	keywords={incentive pay;bonus pay;performance pay;compensation;wage inequality},
            }