Wage Inequality in Spain, 1980-2000

Manuel Hidalgo

No 08.08, Working Papers from Universidad Pablo de Olavide, Department of Economics

Abstract: We use recent developments in quantile regression to simulate counterfactuals densities that allows to decompose the Spanish wage inequality evolution over the 1980-2000 period between changes due to observable prices, labour market composition and non observable characteristics' prices. Our empirical results are threefold: first of all, the wage inequality decreases during each decade first half and increases during the second ones, second both changes in prices and composition has an important role in this evolution and third, changes in observable prices mirrors this behavior above and below the median while non observable inequality increases since 1985 onwards below the median, with an erratic trend above. Finally some tentative explanations are give that could reasonably explain our findings.

Keywords: Wage inequality; counterfactuals; human capital. (search for similar items in EconPapers)
JEL-codes: J24 J31 (search for similar items in EconPapers)
Pages: 34 pages
Date: 2008-04
New Economics Papers: this item is included in nep-lab
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Citations: View citations in EconPapers (7)

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Persistent link: https://EconPapers.repec.org/RePEc:pab:wpaper:08.08

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