Does Firm Size Effect Wages and Labor productivity? -Micro data analysis in case of Japan-

This paper analyzes the relationship of gfirm size and wages h and gfirm size and labor productivity h by using micro data of Financial Statements Statistics of Corporations by Industry FY2018. We find that 1) in the manufacturing sector, the larger the firm is, the higher the wages and labor productivity are, 2) in the services sector, especially large firms (250 employees or over), the relationship between gfirm size and wages h and gfirm size and labor productivity h is not as strong as that in the manufacturing sector, 3) in both the manufacturing sector and the services sector, wages and labor productivity have a positive correlation.