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The Influence of Individual Income Ranks on Job Satisfaction: A Dynamic Perspective

24 Pages Posted: 27 May 2020

See all articles by Costanza Naguib

Costanza Naguib

University of St. Gallen; University of Lugano; University of Bern - Faculty of Economics and Social Sciences

Date Written: April 29, 2020

Abstract

We analyze how income ranks influence job satisfaction. Rank is defined as the wage percentile in which the individual is in a given year. We estimate a distributed lag model on GSOEP data in order to analyze the impact of past ranks and of past rank changes on self-reported satisfaction and to assess after how much time the effect of ranks on individual well-being disappears. We find that both ranks and rank mobility are relevant drivers of job satisfaction, but their impact is short-lived.

Keywords: ranks, job satisfaction, earnings mobility, comparison income

JEL Classification: J28, J31

Suggested Citation

Naguib, Costanza, The Influence of Individual Income Ranks on Job Satisfaction: A Dynamic Perspective (April 29, 2020). Available at SSRN: https://ssrn.com/abstract=3588211 or http://dx.doi.org/10.2139/ssrn.3588211

Costanza Naguib (Contact Author)

University of St. Gallen ( email )

Switzerland

University of Lugano ( email )

Via Giuseppe Buffi 13
Lugano, TN Ticino 6900
Switzerland

University of Bern - Faculty of Economics and Social Sciences ( email )

United States

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