Skills and wage inequality in Greece: evidence from matched employer-employee data, 1995-2002

Rebekka Christopoulou and Theodora Kosma

No 1309, Working Paper Series from European Central Bank

Abstract: This paper examines changes in the Greek wage distribution over 1995-2002 and the role of skills in these changes using a matched employer-employee data set. This data set enables us to account for firm heterogeneity and obtain a more refined picture of the impact of skills. The methodology adopted is the Machado-Mata decomposition technique, which separates the part of wage changes that is due to changes in the job/employer and employee characteristics from the part due to changes in the returns to these characteristics. Our results indicate that the role of skills has been decisive. The skill return effects in combination with the composition effects of tenure, which are arguably responsive to economic developments and market conditions, have had an important contribution to the changes in the Greek wage distribution. On the other hand, the impact of predetermined demographic changes, as those captured by the age and education composition effects, has been relatively milder. JEL Classification: J31

Keywords: quantile regression; returns to skill; wage inequality (search for similar items in EconPapers)
Date: 2011-03
New Economics Papers: this item is included in nep-lab
Note: 455946
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.ecb.europa.eu//pub/pdf/scpwps/ecbwp1309.pdf (application/pdf)

Related works:
Working Paper: Skills and wage inequality in Greece: evidence from matched employer-employee data, 1995-2002 (2011)
Working Paper: Skills and Wage Inequality in Greece: Evidence from Matched Employer-Employee Data, 1995-2002 (2009)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ecb:ecbwps:20111309

Access Statistics for this paper

More papers in Working Paper Series from European Central Bank 60640 Frankfurt am Main, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Official Publications ().