Arbeitspapier

Rising wage inequality in Germany: Increasing heterogeneity and changing selection into full-time work

This study revisits the increase in wage inequality in Germany. Accounting for changes in various sets of observables, composition changes explain a large part of the increase in wage inequality among full-time workers. The composition effects are larger for females than for males, and increasingly heterogenous labor market histories play an important role. Furthermore, we find strong effects of education for males and strong effects of age and experience for females. Changes in industry and occupation explain fairly little. Extending the analysis to total employment confirms the basic findings, while revealing substantial negative selection into part-time work.

Language
Englisch

Bibliographic citation
Series: ZEW Discussion Papers ; No. 17-048

Classification
Wirtschaft
Wage Level and Structure; Wage Differentials
Demand and Supply of Labor: General
Mobility, Unemployment, Vacancies, and Immigrant Workers: General
Subject
wage inequality
reweighting
composition effects
Germany

Event
Geistige Schöpfung
(who)
Biewen, Martin
Fitzenberger, Bernd
de Lazzer, Jakob
Event
Veröffentlichung
(who)
Zentrum für Europäische Wirtschaftsforschung (ZEW)
(where)
Mannheim
(when)
2017

Handle
URN
urn:nbn:de:bsz:180-madoc-436628
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Biewen, Martin
  • Fitzenberger, Bernd
  • de Lazzer, Jakob
  • Zentrum für Europäische Wirtschaftsforschung (ZEW)

Time of origin

  • 2017

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