Selén, Jan () (Trade Union Institute for Economic Research) Ståhlberg, Ann-Charlotte () (SOFI)
Abstract
The paper compares the distribution of individuals’ wage to the distribution of labor compensation when important non-wage benefits are included. In our study for Sweden focus is on pensions, survivors’ benefits and sickness benefits. These are non-observed. A method of estimating these benefits indirectly is proposed and used to examine their contributions to overall earnings inequality. We find that insurance benefits increased annual earnings inequality by 40 percent. The share of the benefits to total earnings is 22 percent. The effect of the benefits is minor for blue collars and municipal white collars, while it is high for private white collars.
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Publisher Info
Paper provided by Trade Union Institute for Economic Research in its series Working Paper Series with number
197.
Find related papers by JEL classification: H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Private Pensions
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