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Wage Inequality Decomposition Of Romania

Author

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  • BĂNCESCU Irina

    (School of Advanced Studies of the Romanian Academy, Department of Economic, Social and Legal Sciences, Bucharest, Romania, Costin C. Kiritescu” National Institute of Economic Research, Bucharest, Romania)

Abstract

Income inequality has risen during the last decades, thus making its way into the agenda of decision makers. Effects of increased income inequality include negative effects on economic development and slowing down poverty reduction. Nowadays, drivers and effects of income inequality are still under debate and studies consider all types of income sources for analyses. An important income source for individuals represents wage earnings. While some research papers on income inequality concern the household income inequality, other research works regarding labour market study the wage inequality. This paper studies wage inequality of Romania by types of employers (for example state/public, mixed or private) for the 2008-2012 period. The study reveals that change of wage earnings inequality across the period considered can be due to within-group inequality and within-group change in population share.

Suggested Citation

  • BĂNCESCU Irina, 2019. "Wage Inequality Decomposition Of Romania," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 240-246, July.
    • Handle: RePEc:ora:journl:v:1:y:2019:i:1:p:240-246
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    File URL: http://anale.steconomiceuoradea.ro/volume/2019/n1/023.pdf
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    More about this item

    Keywords

    wage inequality; mean log deviation index; decomposition; public-private income gap;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution

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