preference and risk parameters in the model can be identified, even when productivity risk varies over time, given panel data on … over the period 1967-1996. We then use the estimated parameter values to decompose inequality in all variables of interest …

This Paper explores the implications of the recent sharp rise in US wage inequality for welfare and the cross … than wage dispersion, due to a rise in the correlation between wages and hours worked. Over the same period, inequality in … hours worked remained roughly constant, and consumption inequality increased only modestly. Using data from the PSID, we …

Data on the life-cycle profiles of inequality in wages, earnings, hours worked and consumption contains precious … on the estimated age profiles for inequality and, thus, on the answers to those questions. It also shows that time … effects are required to account for the observed trends in inequality in thirty years of US data, whereas there is no evidence …

, greater wage inequality presents opportunities to increase aggregate productivity by concentrating market work among more …