IDEAS home Printed from https://ideas.repec.org/a/afc/cliome/v4y2010i1p19-50.html
   My bibliography  Save this article

Explaining UK wage inequality in the past globalisation period, 1880–1913

Author

Listed:
  • C. Betrán

    () (Facultad de Economía, Universidad de Valencia, 46022 Valencia, Spain.)

  • J. Ferri

    () (Facultad de Economía, Universidad de Valencia, 46022 Valencia, Spain.)

  • Maria A. Pons

    () (Facultad de Economía, Universidad de Valencia, 46022 Valencia, Spain.)

Abstract

The current era of globalisation has witnessed a rising premium paid to skilled workers resulting in increasing wage inequality in most OECD countries. This pattern differs from that observed during the past globalisation period (1880–1913), in which wage inequality decreased in most of the Old World countries. The present debate over wage inequality focuses on the implications of globalisation, technological change, the role of labour market institutions and education. Similar factors were at work in the past globalisation process. In order to disentangle the main factors that contribute to wage inequality, we calibrate a general equilibrium model for the UK economy in the past globalisation period. The results show that a trade shock and a skilled-biased technology shock increased wage inequality. However, education and emigration had a more significant impact and led to a decrease in wage inequality.

Suggested Citation

  • C. Betrán & J. Ferri & Maria A. Pons, 2010. "Explaining UK wage inequality in the past globalisation period, 1880–1913," Cliometrica, Journal of Historical Economics and Econometric History, Association Française de Cliométrie (AFC), vol. 4(1), pages 19-50, January.
  • Handle: RePEc:afc:cliome:v:4:y:2010:i:1:p:19-50
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1007/s11698-009-0038-z
    Download Restriction: Access to full text is restricted to journal subscribers

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Timothy J. Hatton, 2010. "The Cliometrics Of International Migration: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 24(5), pages 941-969, December.
    2. Timothy J Hatton & Zachary Ward, 2018. "International Migration in the Atlantic Economy 1850 - 1940," CEH Discussion Papers 02, Centre for Economic History, Research School of Economics, Australian National University.

    More about this item

    Keywords

    Wage inequality; Globalisation; Technological change; General equilibrium;

    JEL classification:

    • N30 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - General, International, or Comparative
    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:afc:cliome:v:4:y:2010:i:1:p:19-50. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://edirc.repec.org/data/afcccea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.