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International Comparisons of Male Wage Inequality: Are the Findings Robust?

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  • Edwin Leuven

    () (OECD)

  • Hessel Oosterbeek

    () (University of Amsterdam)

  • Hans van Ophem

    () (University of Amsterdam)

Abstract

This paper explores the hypothesis that wage differentials between skill groups across countries are consistent with a demand and supply framework. Using micro data from 15 countries we find that about one third of the variation in relative wages between skill groups across countries is explained by differences in net supply of skill groups. The demand and supply framework does an even better job at explaining relative wages of low skilled workers. See publication in The Economic Journal , 2004, 114(495), 466-86.

Suggested Citation

  • Edwin Leuven & Hessel Oosterbeek & Hans van Ophem, 1997. "International Comparisons of Male Wage Inequality: Are the Findings Robust?," Tinbergen Institute Discussion Papers 97-059/3, Tinbergen Institute.
  • Handle: RePEc:tin:wpaper:19970059
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    References listed on IDEAS

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    1. Richard B. Freeman & Lawrence F. Katz, 1995. "Introduction and Summary," NBER Chapters,in: Differences and Changes in Wage Structures, pages 1-22 National Bureau of Economic Research, Inc.
      • John M. Abowd & Richard B. Freeman, 1991. "Introduction and Summary," NBER Chapters,in: Immigration, Trade, and the Labor Market, pages 1-26 National Bureau of Economic Research, Inc.
      • George J. Borjas & Richard B. Freeman, 1992. "Introduction and Summary," NBER Chapters,in: Immigration and the Workforce: Economic Consequences for the United States and Source Areas, pages 1-16 National Bureau of Economic Research, Inc.
    2. Lawrence F. Katz & Kevin M. Murphy, 1992. "Changes in Relative Wages, 1963–1987: Supply and Demand Factors," The Quarterly Journal of Economics, Oxford University Press, vol. 107(1), pages 35-78.
    3. Susan N. Houseman & Katharine G. Abraham, 1995. "Earnings Inequality in Germany," Book chapters authored by Upjohn Institute researchers,in: Richard B. Freeman & Lawrence F. Katz (ed.), Differences and Changes in Wage Structures, pages 371-403 W.E. Upjohn Institute for Employment Research.
    4. Per-Anders Edin & Bertil Holmlund, 1995. "The Swedish Wage Structure: The Rise and Fall of Solidarity Wage Policy?," NBER Chapters,in: Differences and Changes in Wage Structures, pages 307-344 National Bureau of Economic Research, Inc.
    5. John Schmitt, 1995. "The Changing Structure of Male Earnings in Britain, 1974-1988," NBER Chapters,in: Differences and Changes in Wage Structures, pages 177-204 National Bureau of Economic Research, Inc.
    6. David Card & Francis Kramarz & Thomas Lemieux, 1999. "Changes in the Relative Structure of Wages and Employment: A Comparison of the United States, Canada, and France," Canadian Journal of Economics, Canadian Economics Association, vol. 32(4), pages 843-877, August.
    7. Peter Gottschalk & Mary Joyce, 1995. "Is Earnings Inequality Also Rising in Other Industrialized Countries? -- the Role of Institutional Constraints," Boston College Working Papers in Economics 306., Boston College Department of Economics.
    8. Juhn, Chinhui & Murphy, Kevin M & Pierce, Brooks, 1993. "Wage Inequality and the Rise in Returns to Skill," Journal of Political Economy, University of Chicago Press, vol. 101(3), pages 410-442, June.
    9. Blau, Francine D & Kahn, Lawrence M, 1996. "International Differences in Male Wage Inequality: Institutions versus Market Forces," Journal of Political Economy, University of Chicago Press, vol. 104(4), pages 791-836, August.
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    Cited by:

    1. Coen N. Teulings, 1999. "Substitution and Complementarity under Comparative Advantage and the Accumulation of Human Capital," Tinbergen Institute Discussion Papers 99-049/3, Tinbergen Institute.
    2. repec:eee:labchp:v:3:y:1999:i:pc:p:3029-3084 is not listed on IDEAS

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