Earnings Inequality (earning + inequality)

Distribution by Scientific Domains


Selected Abstracts


Mind the Gaps: The Evolution of Regional Earnings Inequalities in the U.K., 1982,1997

JOURNAL OF REGIONAL SCIENCE, Issue 2 2002
Gilles Duranton
In this paper we apply earnings equations for U.K. regions over 1982,1997. We find evidence of rapid convergence across regions regarding the determinants of individual wages (i.e., regional fixed-effects, gender gaps, and returns to education and experience). In contrast, data on average regional earnings point to a worsening of U.K. regional inequalities and a rise in the North-South gap. Education accounts for most of the discrepancy between aggregate divergence and disaggregated convergence. First, London gained because its workforce became relatively more educated over the period. Second, returns to education increased nationwide, which favored the most educated regions (i.e., London). Third, returns to education were initially lower in London but they (partially) caught up with the rest of the country. Had returns to education and their distribution across U.K. regions remained stable over the period, the U.K. North-South divide would have decreased. [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]


Caught in a Trap?

ECONOMICA, Issue 268 2000
Wage Mobility in Great Britain: 197
In this paper I study wage mobility in Great Britain using the New Earnings Surveys of 1975,94 and the British Household Panel Surveys of 1991,94. Measuring mobility in terms of decile transition matrices, I find a considerable degree of immobility within the wage distribution from one year to the next. Mobility is higher when measured over longer time periods. Those in lower deciles in the wage distribution are much more likely to exit into unemployment and non-employment. Measuring mobility by studying changes in individuals' actual percentile rankings in the wage distribution, I find evidence that short-run mobility rates have fallen since the late 1970s. This has potentially important welfare implications, given the rise in cross-section earnings inequality observed over the last two decades. [source]


Unpaid Work at Home

INDUSTRIAL RELATIONS, Issue 4 2009
YOUNGHWAN SONG
A substantial number of people take work home without a formal payment arrangement. Using the Work Schedules and Work at Home Supplement to the May 2001 Current Population Survey, this paper investigates the determinants of unpaid work at home. Education, lack of overtime rates, being a team leader, efficiency wages, and larger earnings inequality in an occupation are positively related to the prevalence of unpaid work at home. Unpaid work at home appears to be a form of investment made in expectation of a return in the long run. [source]


Economic development and fluctuations in earnings inequality in the very long run: The evidence from Latin America 1900,2000

JOURNAL OF INTERNATIONAL DEVELOPMENT, Issue 8 2008
Valpy FitzGerald
Abstract Latin America has the most unequal income distribution of any region in the world, yet its historical causes are poorly understood. This paper reports the first exploratory attempt to compute income distributions for the five leading Latin American economies for the whole 20th century. The methodology produces estimates of earnings dispersion for four skill groups over 1900,2000, which can be used to generate the familiar Gini coefficients. Large fluctuations in dispersion over time are found: countering claims of stability since the colonial past in the recent economic institutions literature; but supporting the findings of economic historians and development economists. An estimation model (reflecting the impact of international trade, labour quality and macroeconomic imbalances) explains the data reasonably well, with all three sets of drivers proving significant, although the measured effects are different across the five countries. The paper concludes that the skill composition of the workforce not only underpins long run trends in income distribution; but also conditions inequality fluctuations in response to exogenous shocks. Copyright © 2008 John Wiley & Sons, Ltd. [source]


MACROECONOMIC PERFORMANCE AND INEQUALITY: BRAZIL, 1983,94

THE DEVELOPING ECONOMIES, Issue 1 2009
Manoel BITTENCOURT
D31; E31; O11; O54 We examine how poor macroeconomic performance, mainly in terms of high rates of inflation, affected earnings inequality in the 1980s and early 1990s in Brazil. The results, based initially on aggregate time series, and then on sub-national panel time-series data and analysis, show that the extreme inflation, combined with an imperfect process of financial adaptation and incomplete indexation coverage, had a regressive and significant impact on inequality. The implication of the results is that sound macroeconomic policies, which keep inflation low and stable in the long run, should be a necessary first step of any policy package implemented to alleviate inequality in Brazil. [source]