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Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach

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Author Info
DiNardo, John
Fortin, Nicole M
Lemieux, Thomas

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Abstract

This paper provides evidence that the decline in the real value of the minimum wage and in the rate of unionization account for a significant share of the increase in wage inequality in the United States between 1979 and 1988. The role of the minimum wage is particularly important for women, while deunionization has the largest impact on men. The authors develop a semiparametric procedure that applies kernel density methods to appropriately weighted samples. The procedure provides a visually clear representation of where in the density of wages institutional and labor market forces exert the greatest impact. Copyright 1996 by The Econometric Society.

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Publisher Info
Article provided by Econometric Society in its journal Econometrica.

Volume (Year): 64 (1996)
Issue (Month): 5 (September)
Pages: 1001-44
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Handle: RePEc:ecm:emetrp:v:64:y:1996:i:5:p:1001-44

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Rosen, Sherwin, 1969. "Trade Union Power, Threat Effects and the Extent of Organization," Review of Economic Studies, Blackwell Publishing, vol. 36(106), pages 185-96, April. [Downloadable!] (restricted)
  2. Dinardo, J. & Fortin, N.M. & Lemieux, T., 1994. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," Cahiers de recherche 9406, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
    Other versions:
  3. Katz, Lawrence F. & Revenga, Ana L., 1989. "Changes in the structure of wages: The United States vs Japan," Journal of the Japanese and International Economies, Elsevier, vol. 3(4), pages 522-553, December. [Downloadable!] (restricted)
  4. Richard B. Freeman, 1980. "Unionism and the Dispersion of Wages," NBER Working Papers 0248, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  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. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. John DiNardo & Nicole M. Fortin & Thomas Lemieux, 1995. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," NBER Working Papers 5093, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  2. Maurin, Eric & Thesmar, David, 2003. "Changes in the Functional Structure of Firms and the Demand for Skill," CEPR Discussion Papers 3831, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  3. Baker, Michael & Fortin, Nicole, 2000. "The Gender Composition and Wages: Why is Canada Different from the United States?," Analytical Studies Branch Research Paper Series 2000140e, Statistics Canada, Analytical Studies Branch. [Downloadable!]
  4. Juan Mora & Daniel Miles, 2002. "On The Performance Of Nonparametric Specification Tests In Regression Models," Working Papers. Serie AD 2002-13, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
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  5. Michael Baker & Nicole M. Fortin, 1999. "Occupational Gender Composition and Wages in Canada: 1987-1988," NBER Working Papers 7371, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  6. Jeannette Wicks-Lim & Mark D Brenner & Robert Pollin, 2004. "Economic Analysis of the Florida Minimum Wage Proposal," Published Studies ps17, Political Economy Research Institute, University of Massachusetts at Amherst. [Downloadable!]
  7. Michael Baker & Nicole M. Fortin, 1998. "Gender Composition and Wages: Why Is Canada Different from the United States?," CIRANO Working Papers 98s-34, CIRANO. [Downloadable!]
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  8. Lars Osberg, 1996. "Economic Growth, Income Distribution and Economic Welfare in Canada 1975-1994," Department of Economics at Dalhousie University working papers archive econgrow, Dalhousie, Department of Economics. [Downloadable!]
    Other versions:
  9. Christian Dustmann & Nikolaos Theodoropoulos, 2006. "Ethnic Minority Immigrants and their Children in Britain," CReAM Discussion Paper Series 0610, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
  10. Michael Baker & Nicole M. Fortin, 1999. "Women's Wages in Women's Work: A US/Canada Comparison of the Roles of Unions and Public Goods Sector Jobs," CIRANO Working Papers 99s-02, CIRANO. [Downloadable!]
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  11. Cynthia Bansak & Steven Raphael, 1998. "Immigration Reform and the Earnings of Latino Workers: Do Employer Sanctions Cause Discrimination?," University of California at San Diego, Economics Working Paper Series 98-20, Department of Economics, UC San Diego. [Downloadable!]
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  12. Hugo Nopo & Jaime Saavedra & Maximo Torero, 2004. "Ethnicity and Earnings in Urban Peru," Middlebury College Working Paper Series 0405, Middlebury College, Department of Economics. [Downloadable!]
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  13. Paul A. Storer & Marc A. van Audenrode, 1998. "Exploring the Links between Wage Inequality and Unemployment: A Comparison of Canada and the US," Canadian Public Policy, University of Toronto Press, vol. 24(s1), pages 233-253, February. [Downloadable!] (restricted)
  14. D. K. Ginther, . "A nonparametric analysis of the U.S. earnings distribution," Institute for Research on Poverty Discussion Papers 1067-95, University of Wisconsin Institute for Research on Poverty. [Downloadable!]
  15. Borghans, Lex & ter Weel, Bas, 2004. "The Diffusion of Computers and the Distribution of Wages," IZA Discussion Papers 1107, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  16. David Card, 1998. "Falling Union Membership and Rising Wage Inequality: What's the Connection?," NBER Working Papers 6520, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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