Finance
Research insight
INVITED EDITOR
Editorial from
Rui C. Silva
Assistant Professor, Nova SBE
November 16, 2022
8. Decent work and economic growth

8. Decent work and economic growth

Promote inclusive and sustainable economic growth, full and productive employment and decent work for all
LEARN MORE

Internal Labor Markets, Wage Convergence and Investment

Rui Silva joined Nova SBE as an Assistant Professor in Finance! Recently, he published "Internal labor markets, wage convergence, and investment" in the Journal of Financial and Quantitative Analysis, 56(4), 1192-1227. Click to read the abstract and access the paper.

Abstract

I document wage convergence in conglomerates using detailed plant-level data: Workers in low-wage industries collect higher-than-industry wages when the diversified firm also operates in high-wage industries. I confirm this effect by exploiting the implementation of the North American Free Trade Agreement (NAFTA) and changes in minimum wages at the state level as sources of exogenous increases in wages in some plants. I then track the evolution of wages of the remaining workers of the firm, relative to workers of unaffiliated plants. Plants where workers collect higher-than-industry wages operate with higher capital intensity, suggesting that internal labor markets may affect investment decisions in internal capital markets.

Access the research paper here

Rui C. Silva
Assistant Professor, Nova SBE
LEARN MORE
SHARE

Keep reading

Competition and cooperation in mutual fund families

How do competitive and cooperative fund manager incentives affect fund and family strategies and outcomes? ‍The research article addresses this question.

What internal shifts need to occur for a family office to embrace sustainable investing?

Family offices can offer a much higher level of customization and a greater alignment of interest than private banks or wealth management firms. They are also showing a growing appetite for the myriad of investment approaches under the “sustainable finance” umbrella. In this context, the following questions often surface:

The impact of the European funds on impact

Portugal 2020 was (and still is) the Partnership Agreement between Portugal and the European Commission regarding the amount of European Structural and Investment Funds for 2014-2020. Portugal has received around 25 billion euros in total, of which were invested 150 million euros in ​​social innovation through the Estrutura de Missão Portugal Inovação Social (Portugal Social Innovation Mission Structure).

Government debt and corporate leverage: international evidence

We empirically investigate the impact of government debt on corporate financing decisions in an international setting. Published in Journal of Financial Economics.

THE CHOICES OF

BOLD Leadership: Nova SBE's Innovative Program for Future Leaders

In an era defined by rapid change and global challenges, the question of what it takes to be an outstanding leader in the 21st century becomes increasingly crucial. Nova School of Business and Economics (Nova SBE) has stepped up to address this query with its groundbreaking initiative: BOLD – Be an Outstanding Leader. This senior manager training program not only equips participants with essential skills but also aligns with the United Nations’ Sustainable Development Goal 16 (SDG 16), emphasizing the role of leadership in creating positive societal impact.

Subscribe our weekly newsletter

By subscribing to the Nova SBE Role to Play newsletter, you can stay up-to-date on the latest articles posted on the website.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

We all have a role to play

We are on a mission to be a community dedicated to the development of talent and knowledge that impacts the world.

With just ten years to go, an ambitious global effort is underway to deliver the 2030 promise. We want to take a stand and we are calling on our community to showcase how they are contributing to the 17 Sustainable Development Goals, whilst influencing more and more people to unravel their role to play.

Here, you will find four different ways your ideas can flourish, dialogue can be enhanced, and action can take place. You can choose one or all four, and Nova SBE will be there to support you all the way and guarantee tangible change.

We all have a role to play, and this is your way in.