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Decomposing Inequality Change in East Germany During Transition

Ira Gang and Myeong-Su Yun ()

Departmental Working Papers from Rutgers University, Department of Economics

Abstract: This paper studies the cause of the changes, or lack of, in wage inequality in East Germany during its transition from a socialist to a market-oriented economic system. We are interested in how much of the change in the dispersion of wages can be explained by the changes in the characteristics of workers and how much can be explained by the changes in returns to characteristics of workers.

Keywords: characteristics effect; coefficients effect; decomposition analysis of inequality; earnings; residuals effect (search for similar items in EconPapers)
JEL-codes: D30 J30 (search for similar items in EconPapers)
Date: 2002-08-29
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Citations: View citations in EconPapers (5)

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