Determinants of household earnings inequality: the role of labour market trends and changing household structure

"This article assesses various underlying driving factors for the evolution of household earnings inequality or 23 OECD countries from the mid-1980s to the mid-2000s. There are a number of factors at play. Some are related to labour market trends – increasing dispersion of individual wages and...

Full description

Bibliographic Details
Main Authors: Chen, Wen Hao, Förster, Michael F., Llena-Nozal, Ana
Institution:ETUI-European Trade Union Institute
Format: TEXT
Language:English
Published: Luxembourg 2013
LIS
Subjects:
Online Access:https://www.labourline.org/KENTIKA-19126963124919441459-Determinants-of-household-earn.htm
_version_ 1771659894481485826
author Chen, Wen Hao
Förster, Michael F.
Llena-Nozal, Ana
author_facet Chen, Wen Hao
Förster, Michael F.
Llena-Nozal, Ana
collection Library items
description "This article assesses various underlying driving factors for the evolution of household earnings inequality or 23 OECD countries from the mid-1980s to the mid-2000s. There are a number of factors at play. Some are related to labour market trends – increasing dispersion of individual wages and changes in men’s and women’s employment rates. Others relate to shifts in household structures and family formation – more single-headed households and increased earnings correlation among partners in couples. The contribution of each of these factors is estimated using a semi parametric decomposition technique. The results reveal that marital sorting and household structure changes contributed, albeit moderately, to increasing household earnings inequality, while rising women’s employment exerted a sizable equalising effect. However, changes in labour market factors, in particular increases in men’s earnings disparities, were identified as the main driver of household earnings inequality, contributing between one-third and one-half to the overall increase in most countries. Sensitivity analysis applying a reversed-order decomposition suggests that these results are robust."
format TEXT
geographic USA
id 19126963124919441459_617e246f292b49e19e6db2578b5d4dd4
institution ETUI-European Trade Union Institute
is_hierarchy_id 19126963124919441459_617e246f292b49e19e6db2578b5d4dd4
is_hierarchy_title Determinants of household earnings inequality: the role of labour market trends and changing household structure
language English
physical 39 p.
Digital
publishDate 2013
publisher Luxembourg
LIS
spellingShingle Chen, Wen Hao
Förster, Michael F.
Llena-Nozal, Ana
income distribution
labour supply
wage differential
women
Determinants of household earnings inequality: the role of labour market trends and changing household structure
thumbnail https://www.labourline.org/Image_prev.jpg?Archive=100516892879
title Determinants of household earnings inequality: the role of labour market trends and changing household structure
topic income distribution
labour supply
wage differential
women
url https://www.labourline.org/KENTIKA-19126963124919441459-Determinants-of-household-earn.htm