Was the increase in income inequality in the US due to permanent shocks or merely to anincrease in the variance of transitory shocks? The implications for consumption and welfaredepend crucially on the answer to this question. We use CEX repeated cross-section data onconsumption and income to...

This paper explores how cross-sectional data can be exploited jointly with longitudinal data,in order to increase estimation efficiency while properly tackling the potential bias due tounobserved individual characteristics. We propose an innovative procedure and we show itsimplementation by...

One of the famous questions in social science is whether money makes people happy. We offer new evidence by using longitudinal data on a random sample of Britons who receive medium-sized lottery wins of between £1000 and £120,000 (that is, up to approximately U.S. $200,000). When compared to...

Based on a unique composite dataset measuring heterogeneous sports participation, labour market outcomes and local facilities provision, this paper examines for the first time the association between different types of sports participation on employment and earnings in England. Clear...

A cross country comparison of generational earnings mobility is offered, and the reasons for the degree to which the long run labour market success of children is related to that of their parents is examined. The rich countries differ significantly in the extent to which parental economic status...

I use the PSID to decompose the rise in wage inequality into a permanent and a transitory component. I consider separately job stayers and job changers. I find that earnings instability (the variance of the transitory component of earnings) increased much more among job changers than among job...

In this paper we test for risk compensation in wages using Danish panel data. With the conviction that the type of education is as important as the education length, we use a very detailed description of the type of education reached by the Danish population to calculate different measures of...

In this paper we analyse household income mobility dynamics among Africans in South Africa?s most populous province, Kwazulu-Natal, between 1993 and 1998. Compared to industrialized and most developing countries, mobility has been quite high, as might have been expected after the transition in...

In this paper, we estimate a structural model of choice of field of study by community college students. We use data from the Canadian Survey of Graduates for 12,871 individuals who successfully completed their programs in Canadian community colleges (CEGEPs in Quebec) in 1990 and 1995. Over...

This paper examines the effect of smoking behavior on earnings. Using data from the GSOEP, both cross-sectional and longitudinal models are estimated separately for males and females. Results for the cross-sectional models confirm prior analyses inasmuch as smoking has a negative effect on...