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Wage Income Distribution and Mobility in Malta

Author

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  • Clemens Knoppe

    (Central Bank of Malta)

Abstract

This paper uses information from a detailed administrative database on reported full-time employment incomes to study the distribution of wage incomes and mobility between 2000 and 2015 in Malta. Developments in wage distributions and mobility are discussed within the context of the structural changes that took place in the Maltese economy over the last decade. The main finding is that while inequality in Malta remains subdued by international standards, there has been an increase in recent years as low wages have remained stable in real terms, while those in the middle and at the top of the distribution have seen significant rises. Due to the rising demand for certain types of skills, wage mobility appears to have declined, particularly for older workers. This points to an importance of increased investment in education and retraining.

Suggested Citation

  • Clemens Knoppe, 2018. "Wage Income Distribution and Mobility in Malta," CBM Working Papers WP/06/2018, Central Bank of Malta.
    • Handle: RePEc:mlt:wpaper:0618
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    File URL: https://www.centralbankmalta.org/file.aspx?f=72252
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    References listed on IDEAS

    as
    1. Christina Starmans & Mark Sheskin & Paul Bloom, 2017. "Why people prefer unequal societies," Nature Human Behaviour, Nature, vol. 1(4), pages 1-7, April.
    2. Trede, Mark, 1998. "Making mobility visible: a graphical device," Economics Letters, Elsevier, vol. 59(1), pages 77-82, April.
    3. Shorrocks, A F, 1978. "The Measurement of Mobility," Econometrica, Econometric Society, vol. 46(5), pages 1013-1024, September.
    4. Ms. Evridiki Tsounta & Anayochukwu Osueke, 2014. "What is Behind Latin America’s Declining Income Inequality?," IMF Working Papers 2014/124, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Ilias Georgakopoulos, 2019. "Income and Wealth Inequality in Malta," International Journal of Social Science Studies, Redfame publishing, vol. 7(5), pages 58-71, September.
    2. Tiziana M. Gauci, "undated". "An analysis of educational attainment in Malta," CBM Policy Papers PP/03/2021, Central Bank of Malta.
    3. Ian Borg, "undated". "The length of stay of foreign workers in Malta," CBM Policy Papers PP/01/2019, Central Bank of Malta.

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    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J69 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Other

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