Changes in the Distribution of Wages, 1940-1950: The Public vs. the Private Sector
Between 1940 and 1950 wage differentials within and between labor market groups narrowed significantly - the so-called 'Great Compression'. This paper disaggregates the Great Compression into its public and private components. Wage compression in the public sector, along with a decline in the pay premia received by public sector workers, explains about 40 percent of aggregate wage compression in the 1940s. The experience of the 1940s stands in stark contrast with that of the past two decades, in which a rigid public sector wage structure has dampened increases in aggregate wage inequality.
|Date of creation:||Dec 1995|
|Date of revision:|
|Publication status:||published as Margo, Robert A. and T. Aldrich Finegan. "The Great Compression Of The 1940s: The Public Versus The Private Sector," Explorations in Economic History, 2002, v39(2,Apr), 183-203.|
|Contact details of provider:|| Postal: |
Web page: http://www.nber.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Goldin, Claudia & Margo, Robert A, 1992.
"The Great Compression: The Wage Structure in the United States at Mid-century,"
The Quarterly Journal of Economics,
MIT Press, vol. 107(1), pages 1-34, February.
- Claudia Goldin & Robert A. Margo, 1991. "The Great Compression: The Wage Structure in the United States at Mid- Century," NBER Working Papers 3817, National Bureau of Economic Research, Inc.
- Mary Benedict & Kathryn Shaw, 1995. "The impact of pension benefits on the distribution of earned income," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 48(4), pages 740-757, July.
- Alan B. Krueger, 1988.
"The Determinants of Queues for Federal Jobs,"
NBER Working Papers
2499, National Bureau of Economic Research, Inc.
- Katz, L.F. & Krueger, A.B., 1991.
"Chances In The Structure Of Wages In The Public And Private Sectors,"
Harvard Institute of Economic Research Working Papers
1547, Harvard - Institute of Economic Research.
- Lawrence Katz & Alan Krueger, 1991. "Changes in the Structure of Wages in the Public and Private Sectors," Working Papers 662, Princeton University, Department of Economics, Industrial Relations Section..
- Lawrence F. Katz & Alan B. Krueger, 1991. "Changes in the Structure of Wages in the Public and Private Sectors," NBER Working Papers 3667, National Bureau of Economic Research, Inc.
- Steven F. Venti, 1985.
"Wages in the Federal and Private Sectors,"
NBER Working Papers
1641, National Bureau of Economic Research, Inc.
- Mary Ellen Benedict & Kathryn Shaw, 1995. "The Impact of Pension Benefits on the Distribution of Earned Income," ILR Review, Cornell University, ILR School, vol. 48(4), pages 740-757, July.
- Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
- Finegan, T. Aldrich & Margo, Robert A., 1994. "Work Relief and the Labor Force Participation of Married Women in 1940," The Journal of Economic History, Cambridge University Press, vol. 54(01), pages 64-84, March.
When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:5389. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.