wage inequality over the sample period. Changes in the distribution of hours worked sharpen the rise in earnings inequality …

In recent decades, the US wage structure has been transformed by a rising college premium, a narrowing gender gap, and … increasing persistent and transitory residual wage dispersion. This paper explores the implications of these changes for cross … changing wage structure as the only primitive force, the model can account for the key trends in cross-sectional US data. We …

find that since the early 2000s, the college wage premium has stopped growing, and the race wage gap has stalled. However …, the gender wage gap has kept shrinking. Both individual- and household-level income inequality have continued to rise at …