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Dissecting Wage Dispersion

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  • Sandra A. Cannon
  • Jose Mustre-del-Rio

Abstract

Wages are substantially dispersed across workers, jobs, and employers in the U.S. economy. Although some of that dispersion is due to demographic factors, the authors found that after controlling for those differences, both "who you are" (the permanent component of wage dispersion) and "where you work" (the match-specific component of wage dispersion) contribute to the range of wages paid.

Suggested Citation

  • Sandra A. Cannon & Jose Mustre-del-Rio, 2017. "Dissecting Wage Dispersion," Economic Review, Federal Reserve Bank of Kansas City, issue Q III, pages 35-52.
    • Handle: RePEc:fip:fedker:00055
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    File URL: https://www.kansascityfed.org/documents/544/2017-Dissecting%20Wage%20Dispersion.pdf
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    References listed on IDEAS

    as
    1. Katz, Lawrence F. & Autor, David H., 1999. "Changes in the wage structure and earnings inequality," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 26, pages 1463-1555, Elsevier.
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