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Wage Inequality, Employment Structure and Skill-biased Change in Italy

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  • Paolo Naticchioni
  • Andrea Ricci
  • Emiliano Rustichelli

Abstract

This paper investigates empirically the relation between wage inequality, employment structure, and skill-biased change in Italy between 1993 and 2004. Applying quantile decomposition analysis, we point out that changes in wage inequality are mainly driven by a decrease in educational premia over time, whereas changes in employment structure play a negligible role. This evidence suggests that changes in wage inequality in Italy can hardly be interpreted in terms of a skill-biased change, and the evidence is further reinforced by a set of descriptive statistics showing that the increasing educational attainments of the workforce might have been crowded out by a stable trend in the demand for skills. Copyright 2008 The Authors. Journal compilation CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd. 2008.

Suggested Citation

  • Paolo Naticchioni & Andrea Ricci & Emiliano Rustichelli, 2008. "Wage Inequality, Employment Structure and Skill-biased Change in Italy," LABOUR, CEIS, vol. 22(s1), pages 27-51, June.
  • Handle: RePEc:bla:labour:v:22:y:2008:i:s1:p:27-51
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Naticchioni, Paolo & Ragusa, Giuseppe & Massari, Riccardo, 2014. "Unconditional and Conditional Wage Polarization in Europe," IZA Discussion Papers 8465, Institute for the Study of Labor (IZA).
    2. de Oliveira Cruz , Bruno & Naticchioni , Paolo, 2012. "Falling urban wage premium and inequality trends: evidence for Brazil," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 24, pages 91-113.
    3. Bosio, Giulio, 2009. "Temporary employment and wage gap with permanent jobs: evidence from quantile regression," MPRA Paper 16055, University Library of Munich, Germany.
    4. Ana Karina Alfaro & José Javier Núñez Velázquez, 2010. "The Spanish technnical change: A regional and a dynamic analysis (1994-2007)," Alcamentos 1002, Universidad de Alcalá, Departamento de Economía..
    5. Paola Gritti & Riccardo Leoni, 2013. "The impact on wages of generic competencies, psychological capital, new work practices and digital technologies," Working Papers (2013-) 1301, University of Bergamo, Department of Management, Economics and Quantitative Methods.
    6. Antonioli, Davide & Manzalini, Rocco & Pini, Paolo, 2011. "Innovation, workers skills and industrial relations: Empirical evidence from firm-level Italian data," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(3), pages 312-326, May.
    7. repec:spr:italej:v:3:y:2017:i:1:d:10.1007_s40797-016-0046-7 is not listed on IDEAS
    8. Wickham James, 2011. "Low Skill Manufacturing Work: from skill biased change to technological Regression / Niedrig qualifizierte Industriearbeit: vom qualifikationsbeeinflussten Strukturwandel zur technologischen Regressio," Arbeit, De Gruyter, vol. 20(3), pages 224-238, September.
    9. repec:bla:labour:v:31:y:2017:i:1:p:73-104 is not listed on IDEAS
    10. Gabriele Ballarino & Massimiliano Bratti, 2009. "Field of Study and University Graduates' Early Employment Outcomes in Italy during 1995-2004," LABOUR, CEIS, vol. 23(3), pages 421-457, September.

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