This paper surveys major empirical regularities concerning changes in earnings inequality in Europe and the U.S. over the past 25 years. Next, it indicates which of these regularities can be explained within the competitive demand-supply framework of analysis and what is left unexplained....

Pay and European integration / David Marsden and Jean-Jacques Silvestre -- The internal market and relocation strategies / Daniel Vaughan-Whitehead -- European economic integration from the standpoint of Spanish labour market problems / Jos(c)♭ Luis Malo de Molina and Pilar Garc(c)Ưa Perea --...

This paper integrates institutionally determined wage rigidities into an otherwise standard Heckscher-Ohlin model of international trade. It accounts for differences in individual productivities and their implications for individual wage incomes and demand for education. Although preserving the...