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The Wage Rate Effects of Occupational Labor Market Tightness

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  • Cheryl C. Asher

    (Villanova University)

  • Martin A. Asher

    (Villanova University)

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    Abstract

    Using the May 1981 Current Population Survey tape and occupational labor market conditions data from the Bureau of Labor Statistics, this study tests (1) whether excess demand for labor is directly related to hourly earnings and (2) what effect, if any, controlling for excess demand may have on the estimated gender differential. The data support a direct effect between excess demand and wage rates. With regard to gender effects, females were disproportionately found to be in occupations with more excess demand (in the disequilibrium sense). Though the measured male premium was larger when controlling for labor market conditions, the increase was neither appreciable nor statistically significant.

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    File URL: http://college.holycross.edu/RePEc/eej/Archive/Volume16/V16N1P21_32.pdf
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    Bibliographic Info

    Article provided by Eastern Economic Association in its journal Eastern Economic Journal.

    Volume (Year): 16 (1990)
    Issue (Month): 1 (Jan-Mar)
    Pages: 21-32

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    Handle: RePEc:eej:eeconj:v:16:y:1990:i:1:p:21-32

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    Postal: c/o Dr. Alexandre Olbrecht, The Anisfield School of Business 205, Ramapo College, 505 Ramapo Valley Road, Ramapo, New Jersey 07430, USA
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    1. Martin Asher & Joel Popkin, 1984. "The effect of gender and race differentials on public-private wage comparisons: A study of postal workers," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 38(1), pages 16-25, October.
    2. Mellow, Wesley, 1982. "Employer Size and Wages," The Review of Economics and Statistics, MIT Press, vol. 64(3), pages 495-501, August.
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