these effects. We find, first, that the labour share remains an important determinant of overall inequality patterns, and …, second, that stronger unions and a more generous unemployment benefit tend to reduce income inequality. High capital …-labour ratios also emerge as a strong equalising factor, which has in part offset the impact of increasing wage inequality on the US …

We examine the causes for rising income inequality in Europe's most populous economy. From 2000 to 2006, Germany … experienced an unprecedented rise in net equivalized income inequality and poverty. At the same time, unemployment rose to record …. Other factors that possibly contributed to the rise in income inequality were changes in the tax system, changes in the …

and job mobility. Across education groups permanent shocks to productivity have become more dispersed. Moreover … increase in within group wage inequality. The welfare costs of rising risk are small …

Standard search models are unreliable for structural inference of the underlying sources of wage inequality because … transitions resulting in wage losses. Controlling for them has important implications for the inferred sources of wage inequality …. We find that the search friction accounts for around 18 percent of observed wage inequality …