Grossmann, Volker 2007 This paper explores the equilibrium assignment of nonproduction workers across ex ante identical firms which results from this interaction between product market and the market for nonproduction skills. The analysis suggests that, typically, large and productive firms coexist with small, low-productivity firms. Consistent with empirical evidence, a skewed distribution of firm size tends to arise. Moreover, the model predicts a positive relationship of firm size to productivity, manager quality, and manager remuneration. Finally, according to comparative-static analysis, higher intensity of product market competition can account for increases in the compensation at the top of the wage distribution. application/pdf https://folia.unifr.ch/global/documents/323696 https://folia.unifr.ch/documents/323696/files/1-s2.0-s0167718706000294-main_0.pdf eng info:eu-repo/semantics/altIdentifier/doi/10.1016/j.ijindorg.2005.12.003 info:eu-repo/semantics/altIdentifier/issn/0167-7187 info:eu-repo/semantics/openAccess Rights reserved International Journal of Industrial Organization. - Elsevier BV. - 2007, vol. 25, no. 1, p. 51-67 Asymmetric equilibrium Diversification Firm size Quality–cost margin Multiproduct firms Job assignment Manager wages Productivity Strategy and Management Industrial relations Economics Econometrics and Finance (miscellaneous) Economics and Econometrics info:eu-repo/classification/udc/33 Firm size and diversification: Multiproduct firms in asymmetric oligopoly http://purl.org/coar/resource_type/c_6501