Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/58745
Authors: 
Tello, Claudia
Ramos, Raul
Artís, Manuel
Year of Publication: 
2012
Series/Report no.: 
Discussion Paper series, Forschungsinstitut zur Zukunft der Arbeit 6576
Abstract: 
This paper conducts an empirical analysis of the relationship between wage inequality, employment structure, and returns to education in urban areas of Mexico during the past two decades (1987-2008). Applying Melly's (2005) quantile regression based decomposition, we find that changes in wage inequality have been driven mainly by variations in educational wage premia. Additionally, we find that changes in employment structure, including occupation and firm size, have played a vital role. This evidence seems to suggest that the changes in wage inequality in urban Mexico cannot be interpreted in terms of a skill-biased change, but rather they are the result of an increasing demand for skills during that period.
Subjects: 
wage inequality
quantile regressions
decompositionwage inequality
quantile regressions
decomposition
JEL: 
J31
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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