What four factors contribute to differences in wages

Wage is a payment to a wage earner for wage labor. Wages are a price set in a market, namely the labor market. It will thus ultimately depend on supply and demand in the labor market in question, but the structure of the labor market and thus the various institutional conditions in the labor market can have a major impact on how wage formation takes place. Institutional conditions cover the regulatory framework, the organization of the social partners (trade unions and employers' organizations), the degree of market power of the providers of (ie employees) and the demand for labor, respectively.