Regional Wage Convergence and Divergence: Adjusting Wages for Cost-of-Living Differences
AbstractAn examination of the divergence of U.S. regional fortunes in the early 1980s, showing that once regional prices are factored in, relative wage rates continue to converge across regions. The trend in regional wage variation is also shown to be attributable to declining differences in labor market valuations of worker attributes, rather than to shifts in the regional composition of the workforce.
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Bibliographic InfoPaper provided by W.E. Upjohn Institute for Employment Research in its series Upjohn Working Papers and Journal Articles with number rwe1994er2.
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Note: Appears in Economic Review: Federal Reserve Bank of Cleveland 30(2): 26-37
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wage differential; cost-of-living; regional issues;
Other versions of this item:
- Randall W. Eberts & Mark E. Schweitzer, 1994. "Regional wage convergence and divergence: adjusting wages for cost-of- living differences," Economic Review, Federal Reserve Bank of Cleveland, issue Q II, pages 26-37.
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-12-10 (All new papers)
- NEP-CWA-2012-12-10 (Central & Western Asia)
- NEP-GEO-2012-12-10 (Economic Geography)
- NEP-LAB-2012-12-10 (Labour Economics)
- NEP-URE-2012-12-10 (Urban & Real Estate Economics)
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