Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/161341
Authors: 
Fernandez Sierra, Manuel
Messina, Julián
Year of Publication: 
2017
Series/Report no.: 
IZA Discussion Papers 10718
Abstract: 
Earnings inequality declined rapidly in Argentina, Brazil and Chile during the 2000s. A reduction in the experience premium is a fundamental driver of declines in upper-tail (90/50) inequality, while a decline in the education premium is the primary determinant of the evolution of lower-tail (50/10) inequality. Relative labor supply is important for explaining changes in the skill premiums. Relative demand trends favored high-skilled workers during the 1990s, shifting in favor of low-skilled workers during the 2000s. Changes in the minimum wage, and more importantly, commodity-led terms of trade improvements are key factors behind these relative skill demand trends.
Subjects: 
earnings inequality
unconditional quantile regressions
supply-demand framework
human capital
JEL: 
E24
J20
J31
Document Type: 
Working Paper

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