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Cohort size and the earnings growth of young workers

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Author Info
Mark C. Berger
Abstract

This paper examines the impact of cohort size on human capital investment decisions and early career earnings growth. In general, larger cohorts experience slower earnings growth and flatter earnings profiles than smaller cohorts, a finding that contradicts results reported by Welch. This implies that the negative effect of cohort size on earnings levels found in past research not only persists with age but actually increases. Also, increases in cohort size appear to depress the earnings growth of college graduates more than that of any other schooling group, again contrary to Welch's findings but consistent with evidence presented by Freeman. (Abstract courtesy JSTOR.)

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Publisher Info
Article provided by ILR Review, ILR School, Cornell University in its journal ILR Review.

Volume (Year): 37 (1984)
Issue (Month): 4 (July)
Pages: 582-591
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Handle: RePEc:ilr:articl:v:37:y:1984:i:4:p:582-591

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  1. Tim Slack & Leif Jensen, 2008. "Birth and Fortune Revisited: A Cohort Analysis of Underemployment, 1974–2004," Population Research and Policy Review, Springer, vol. 27(6), pages 729-749, December. [Downloadable!] (restricted)
  2. David E. Bloom & Richard B. Freeman, 1989. "The "Youth Problem": Age or Generational Crowding?," NBER Working Papers 1829, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  3. Diane Macunovich, 1999. "The Fortune of One's Birth: Relative Cohort Size and the Youth Labor Market in the United States," Center for Policy Research Working Papers 6, Center for Policy Research, Maxwell School, Syracuse University. [Downloadable!]
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  4. Greenwood, Daphne T. & Wolff, Edward N., 1990. "Changes In Age-Wealth Profiles:Savings, Revaluation And Inheritance," Working Papers 90-33, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
  5. Flinn, Christopher J., 1991. "Cohort Size and Schooling Choice," Working Papers 91-40, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
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