Economic Liberalization and Wage Inequality in the Presence of Labour Market Imperfection

2005 ◽  
Author(s):  
Sarbajit Chaudhuri ◽  
Shigemi Yabuuchi
2017 ◽  
Vol 70 (2) ◽  
pp. 175-184 ◽  
Author(s):  
Kuo-Hsing Kuo ◽  
Cheng-Te Lee ◽  
Shang-Fen Wu

1998 ◽  
Vol 166 ◽  
pp. 87-96 ◽  
Author(s):  
Stephen Machin

In this article I consider shifts in the structure of wages in Britain between the mid-1970s and mid-1990s. In the 1990s the rising gap between the highest and lowest paid was either stable or rose a little, but by nowhere near as much as in the 1980s. This seems to be, at least partially, due to the fact that faster educational upgrading has dampened down some of the rising wage differentials experienced by the more educated. However, demand still seems to be shifting in favour of the more highly educated and skilled because, despite the fact that there are many more workers with higher educational qualifications, their wages relative to other groups have not fallen. Finally, I argue that relative demand shifts in favour of the more educated and skilled are still more pronounced in more technologically advanced industries. This is in line with the notion, like much of the evidence based on industry demand shifts in the 1970s and 1980s, that technology is key to changes in labour market inequality.


Author(s):  
Carolina Troncoso Baltar ◽  
Lilian Nogueira Rolim ◽  
Eugenia Troncoso Leone

The Brazilian economy entered a deep recession in 2014, when the country’s GDP decreased, with negative consequences for the labour market. The aim of this paper is to analyse the effect of this recession on the country’s wage inequality, taking into account sex differences. The paper classifies employees in different groups considering occupational groups and the sectors of activities these workers belong to in order to verify who are the employees better inserted in the labour market and the ones who are in a more vulnerable situation, separating them by sex. The results show a high asymmetry and dispersion of wage distribution in Brazil. The economic recession of 2015-2016 reduced the country’s income inequality and the differences between men and women, because the share of workers with lower wages increased. However, wage differences in favour of men are still high, especially in occupations of high income and higher education requirements.


2020 ◽  
Author(s):  
Mohamed Ali Marouani ◽  
Phuong Le Minh ◽  
Michelle Marshalian

In this paper we investigate the links between wage inequality and the changing nature of jobs in a revolution context. The methodology consists of various decompositions and regressions, including recentred influence function regressions, based on Tunisian labour force surveys from the past 20 years. Tunisia’s labour market during the period of investigation is characterized by a decreasing earnings inequality following the fall of education premia, and an asymmetric wage polarization led by the increase of the lowest wages. After the Revolution, the routine task index increased significantly because of the rise of the share of routine agricultural and service workers. Although evidence shows that the routinization had a role in the evolution of the wage structure, it is not the main driver. Its effect was crowded out by employment and wage policies in the public sector.


Author(s):  
Hang Le ◽  
Geoffrey Wood ◽  
Shuxing Yin

Abstract The rise of populism has been widely ascribed, at least in part, to an inability of national systems to generate decent employment or, indeed, stem its decline. This article explores the basis and nature of variations in labour market outcomes of different institutional regimes. For this comparative institutional analysis, we build indexes of labour market outcomes in the OECD countries, measuring actual cross-country variations and encompassing a much wider range of evidence in terms of countries and time periods covered than previous studies. We show that in terms of job availability and wages, the liberal market economies (LMEs) have advantages, but once involuntary part-time employment and wage inequality are considered, labour market outcomes appear superior in the continental European countries and the Scandinavia social democracies. However, any advantages of the LMEs appear to be diminishing since the global financial crisis. Compared with other regimes, Southern European and transitional economies have lower level of job availability and wage rates but are comparable in other aspects of the labour market.


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