Work

Changes in Relative Wages, 1963-1987: Supply and Demand Factors

Year: 1991

Type: report

Abstract: A simple supply and demand framework is used to analyze changes in the U.S. wage structure from 1963 to 1987.Rapid secular growth in the demand for more-educated workers1 more-skilled' workers, and females appears to be the driving force behind observed changes in the wage structure.Measured changes in the allocation of labor between industries and occupations strongly favored college graduates and females throughout the period.Movements in the college wage premium over this period appear to be strongly related to fluctuations in the rate of growth of the supply of college graduates.

Source: National Bureau of Economic Research

DOI: 10.3386/w3927

Authors: Lawrence Katz, Kevin Murphy

Institutions: National Bureau of Economic Research, Harvard University, University of Chicago

Language: English

Topic: Labor market dynamics and wage inequality

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: green

Funder: National Science Foundation