Overpayment and earnings satisfaction : an application of an ordered tobit model

W. Groot; H. van den Maassen

doi:10.1080/135048599353410

Overpayment and earnings satisfaction : an application of an ordered tobit model

W. Groot, H. van den Maassen

Research output: Contribution to journal › Article › Academic › peer-review

11 Citations (Scopus)

Abstract

In this paper an ordered response Tobit model is specified to determine the effects of absolute wages and relative overpayment on satisfaction with earnings. The joint estimations of wages and satisfaction with earnings allows us to disentangle the effects of relative and absolute wages on satisfaction with earnings. The model is estimated on two different data sets. All estimations show that satisfaction with earnings is determined by relative wages rather than by absolute wage levels. The results may have implications for pay policies of firms

Original language	English
Pages (from-to)	235-238
Journal	Applied Economics Letters
Volume	6
Issue number	4
DOIs	https://doi.org/10.1080/135048599353410
Publication status	Published - 1999

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title = "Overpayment and earnings satisfaction : an application of an ordered tobit model",

abstract = "In this paper an ordered response Tobit model is specified to determine the effects of absolute wages and relative overpayment on satisfaction with earnings. The joint estimations of wages and satisfaction with earnings allows us to disentangle the effects of relative and absolute wages on satisfaction with earnings. The model is estimated on two different data sets. All estimations show that satisfaction with earnings is determined by relative wages rather than by absolute wage levels. The results may have implications for pay policies of firms",

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AU - van den Maassen, H.

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AB - In this paper an ordered response Tobit model is specified to determine the effects of absolute wages and relative overpayment on satisfaction with earnings. The joint estimations of wages and satisfaction with earnings allows us to disentangle the effects of relative and absolute wages on satisfaction with earnings. The model is estimated on two different data sets. All estimations show that satisfaction with earnings is determined by relative wages rather than by absolute wage levels. The results may have implications for pay policies of firms

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DO - 10.1080/135048599353410

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JO - Applied Economics Letters

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SN - 1350-4851

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ER -

Overpayment and earnings satisfaction : an application of an ordered tobit model

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