Chances In The Structure Of Wages In The Public And Private Sectors
AbstractThe wage structure in the U.S. public sector responded sluggishly to substantial changes in private sector wages during the 1970s and 1980s. Despite a large expansion in the college/high school wage differential during the 1980s in the private sector, the public sector college wage premium remained fairly stable. Although wage differentials by skill, in the public sector were fairly unresponsive to changes in the private sector, overall pay levels for state and local government workers were quite sensitive to local labor market conditions. But federal government regional pay levels appear unaffected by local economic conditions. Several possible explanations are considered to account for the rigidity of the government internal wage structure, including employer size, unionization, and nonprofit status. None of these factors adequately explains the pay rigidity we observe in the government.
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Bibliographic InfoPaper provided by Harvard - Institute of Economic Research in its series Harvard Institute of Economic Research Working Papers with number 1547.
Length: 33 pages
Date of creation: 1991
Date of revision:
labour market ; workers ; government;
Other versions of this item:
- Lawrence Katz & Alan Krueger, 1991. "Changes in the Structure of Wages in the Public and Private Sectors," Working Papers, Princeton University, Department of Economics, Industrial Relations Section. 662, Princeton University, Department of Economics, Industrial Relations Section..
- Lawrence F. Katz & Alan B. Krueger, 1991. "Changes in the Structure of Wages in the Public and Private Sectors," NBER Working Papers 3667, National Bureau of Economic Research, Inc.
- H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
- H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
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