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Changes in the Appalachian Wage Gap, 1970 to 2000

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  • ROBERT BAUMANN

Abstract

Since at least 1960, Appalachia has had lower wages, employment rates, and educational attainment than the rest of the country. Using a sample from the Integrated Public Use Microdata Series Census project, the author identifies factors affecting the wage gap between 1970 and 2000. The author finds that increases in educational attainment in Appalachia are counterbalanced by increasing returns to observable and unobservable skill, the decline of the manufacturing industry, and rising wage dispersion, leaving the wage gap for full-time workers in 2000 at essentially the same levels as 1970. Copyright 2006 Blackwell Publishing.

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Article provided by Gatton College of Business and Economics, University of Kentucky in its journal Growth and Change.

Volume (Year): 37 (2006)
Issue (Month): 3 ()
Pages: 416-443

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Handle: RePEc:bla:growch:v:37:y:2006:i:3:p:416-443

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  1. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
  2. David Neumark, 1987. "Employers' discriminatory behavior and the estimation of wage discrimination," Special Studies Papers 227, Board of Governors of the Federal Reserve System (U.S.).
  3. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
  4. Trejo, Stephen J, 1997. "Why Do Mexican Americans Earn Low Wages?," Journal of Political Economy, University of Chicago Press, vol. 105(6), pages 1235-68, December.
  5. Juhn, Chinhui & Murphy, Kevin M & Pierce, Brooks, 1993. "Wage Inequality and the Rise in Returns to Skill," Journal of Political Economy, University of Chicago Press, vol. 101(3), pages 410-42, June.
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