Change in Wage Inequality in the Czech Republic: Evidence from Linked Employer-Employee Data

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    Abstract

     

    In this paper, we look at the evolution of the change in the wage structure using a linked employer-employee dataset covering a large fraction of the Czech labor market over the period 1998-2006. We find evidence of slightly diminishing gender inequality and increasing returns to human capital. Moreover, exploiting the linked employer-employee character of the data set, we document changes in within-firm wage dispersion and between-firm dispersion. We investigate various hypotheses related to transition towards a market economy, increased domestic and international competition, an increasingly decentralized wage bargaining and a changing educational composition of the workforce to explain these patterns. We find some support that these factors have contributed to the changes in the Czech wage structure, although the latter is the most strongly associated with the observed changes in wage inequality.

    OriginalsprogEngelsk
    Publikationsdato2008
    Antal sider24
    StatusUdgivet - 2008
    BegivenhedSOLE Society of Labor Economists 2008 annual meeting - New York, USA
    Varighed: 9 maj 200810 maj 2008

    Konference

    KonferenceSOLE Society of Labor Economists 2008 annual meeting
    Land/OmrådeUSA
    ByNew York
    Periode09/05/200810/05/2008

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