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The geography of wage inequality in British cities

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  • Lee, Neil
  • Sissons, Paul
  • Jones, Katy

Abstract

There is widespread concern about the scale and implications of urban inequality in Great Britain, but little evidence on which cities are the most unequal and why. This paper investigates patterns of wage inequality in 60 British cities. It has two principal goals: (1) to describe which cities are most unequal and (2) to assess the important determinants of inequality. The results show a distinct geography of wage inequality, the most unequal cities tend to be affluent and located in parts of the Greater South East of England. A central determinant of these patterns is the geography of highly skilled workers. Because of this, the geography of urban wage inequality reflects the geography of affluence more generally.

Suggested Citation

  • Lee, Neil & Sissons, Paul & Jones, Katy, 2016. "The geography of wage inequality in British cities," LSE Research Online Documents on Economics 62134, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:62134
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    File URL: http://eprints.lse.ac.uk/62134/
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    Cited by:

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    2. Haixiao Wu, 2018. "Is There a Kuznets Curve for Intra-City Earnings Inequality?," Working Papers 2018-09, The George Washington University, Institute for International Economic Policy.
    3. Rafa Madariaga & Joan Carles Martori & Ramon Oller, 2019. "Wage income inequality in Catalonian second-rank cities," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 62(2), pages 285-304, April.
    4. David Castells‐Quintana & Vicente Royuela & Paolo Veneri, 2020. "Inequality and city size: An analysis for OECD functional urban areas," Papers in Regional Science, Wiley Blackwell, vol. 99(4), pages 1045-1064, August.
    5. Paul Sissons, 2021. "The local low skills equilibrium: Moving from concept to policy utility," Urban Studies, Urban Studies Journal Limited, vol. 58(8), pages 1543-1560, June.
    6. Diana Barros & Aurora A. C. Teixeira, 2021. "Unlocking the black box: A comprehensive meta-analysis of the main determinants of within-region income inequality," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 41(1), pages 55-93, February.
    7. Matheus O. de Alencar & Jair A. Araujo & Wellington R. Justo & Celina Santos de Oliveira, 2019. "Determinants Of Wage Inequality In Brazilian Municipalities," Economics Bulletin, AccessEcon, vol. 39(2), pages 845-853.

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    More about this item

    Keywords

    inequality; wages; Great Britain; cities; travel-to-Work-Areas;
    All these keywords.

    JEL classification:

    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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