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Earnings Distribution (earning + distribution)

Distribution by Scientific Domains
Business, Economics, Finance and Accounting66%
Humanities and Social Sciences33%

Selected Abstracts

Instrumental Variables Estimates of the Effect of Subsidized Training on the Quantiles of Trainee Earnings

ECONOMETRICA, Issue 1 2002
Alberto Abadie
This paper reports estimates of the effects of JTPA training programs on the distribution of earnings. The estimation uses a new instrumental variable (IV) method that measures program impacts on quantiles. The quantile treatment effects (QTE) estimator reduces to quantile regression when selection for treatment is exogenously determined. QTE can be computed as the solution to a convex linear programming problem, although this requires first-step estimation of a nuisance function. We develop distribution theory for the case where the first step is estimated nonparametrically. For women, the empirical results show that the JTPA program had the largest proportional impact at low quantiles. Perhaps surprisingly, however, JTPA training raised the quantiles of earnings for men only in the upper half of the trainee earnings distribution. [source]

RETURNS TO EDUCATION IN AUSTRALIA

ECONOMIC PAPERS: A JOURNAL OF APPLIED ECONOMICS AND POLICY, Issue 3 2008
ANDREW LEIGH
Using data from the 2001,2005 waves of the Household, Income and Labour Dynamics in Australia survey, and taking account of existing estimates of ability bias and social returns to schooling, I estimate the economic return to various levels of education. Raising high school attainment appears to yield the highest annual benefits, with per-year gains as high as 30% (depending on the adjustment for ability bias). Some forms of vocational training also appear to boost earnings, with significant gains from Certificate Level III/IV qualifications (for high school dropouts only), and from Diploma and Advanced Diploma qualifications. At the university level, bachelor degrees and postgraduate qualifications are associated with significantly higher earnings, with each year of a bachelor degree raising annual earnings by about 15%. For high schools, slightly less than half the gains are due to increased productivity, with the rest being due to higher levels of participation. For vocational training, about one-third of the gains are from productivity, and two-thirds from greater participation. For universities, most of the gains are from productivity. I find some evidence that the productivity benefits of education are higher towards the top of the distribution, but the effects on hours worked are higher towards the bottom of the conditional earnings distribution. [source]

The Impact of Industrial Restructuring on Earnings Inequality: The Decline of Steel and Earnings in Pittsburgh

GROWTH AND CHANGE, Issue 1 2004
Patricia Beeson
ABSTRACT Inter-industry employment shifts were largely responsible for changes in the income distribution in the Pittsburgh region during the 1980s. Kernel density estimators were used, together with decomposition techniques developed by DiNardo et al. (1996) to show that industry shifts were responsible for over 90 percent of the earnings reductions at some points on the earnings distribution. Most of the losses at the lower end of the distribution occurred in the early 1980s as the economy plunged into a deep recession. The recovery in the later part of the decade brought little improvement as earnings in the lower part of the distribution continued to fall with the increase in employment of part-time workers in the low-wage trade and service sectors. [source]

Low-wage work in five European countries and the United States

INTERNATIONAL LABOUR REVIEW, Issue 4 2009
Gerhard BOSCH
Abstract. Analysing research findings on Denmark, Germany, France, the Netherlands, the United Kingdom and the United States, the author shows that the incidence and conditions of low-paid employment in each country are determined by a set of institutions, including minimum wage and active labour market policies, tax and social security systems, and collective bargaining. The widely assumed trade-off between employment and wages, he argues, is not inescapable: active labour market policies for individual empowerment and institutions imposing "beneficial constraints" can prevent improved conditions at the bottom of the earnings distribution from translating into higher unemployment, while also helping to narrow inequalities. [source]

Household Debt and Income Inequality, 1963,2003

JOURNAL OF MONEY, CREDIT AND BANKING, Issue 5 2008
MATTEO IACOVIELLO
income inequality; household debt; credit constraints; incomplete markets I construct an economy with heterogeneous agents that mimics the time-series behavior of the earnings distribution in the United States from 1963 to 2003. Agents face aggregate and idiosyncratic shocks and accumulate real and financial assets. I estimate the shocks that drive the model using data on income inequality, aggregate income, and measures of financial liberalization. I show how the model economy can replicate two empirical facts: the trend and cyclical behavior of household debt and the diverging patterns in consumption and wealth inequality over time. While business cycle fluctuations can account for the short-run changes in household debt, its prolonged rise of the 1980s and the 1990s can be quantitatively explained only by the concurrent increase in income inequality. [source]

The supply of and demand for accounting information

THE ECONOMICS OF TRANSITION, Issue 2 2007
The case of bank financing in Russia
G21; M41; P21 Abstract The article analyzes the use of accounting information in Russia. We assess reporting behaviour in the lending process for a sample of Russian companies in the years 1999,2004 and postulate that Russian companies manage their earnings in order to avoid showing losses when applying for bank financing. Once a credit has been granted, companies are predicted to manage earnings because of the bank's monitoring activities. By means of univariate and multivariate analysis we are able to attribute the discontinuity around a zero target in the earnings distribution with firms' response to the banks' assessment of accounting performance. This implies that financing considerations affect the reporting incentives of Russian companies. [source]