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- W1569142569 abstract "We document a significant flattening of life-cycle earnings profiles for the successive cohorts of male workers entering the labor market since the late 1960s. Further, we provide evidence on the steepening in the profiles of earnings inequality and an upward shift in the profiles of occupational mobility for more recent cohorts. We develop a theory that relates these developments and study quantitatively what fraction of the change in the life-cycle profiles of earnings and earnings inequality is accounted for by the economic forces that drive the increase in occupational mobility. Preliminary results indicate that the increase in the variability of productivity shocks to occupations coupled with the increase in the rate of idiosyncratic destruction of occupational matches from the 1960s to the 1990s, may account for all these observations. The theory we propose is consistent with other facts characterizing the changes in the labor market, such as a sharp increase in cross-sectional wage inequality and the increase in the transitory variability of earnings. JEL Classification: E20, E24, E25, J24, J31, J62." @default.
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- W1569142569 date "2005-01-01" @default.
- W1569142569 modified "2023-09-27" @default.
- W1569142569 title "Accounting for the Changing Life-Cycle Profile of Earnings" @default.
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