Earnings Mobility in Europe: 1994-2001 - Do more flexible labour markets experience a higher earnings mobility?

Sologon, Denisa Maria and O'Donoghue, Cathal (2011). Earnings Mobility in Europe: 1994-2001 - Do more flexible labour markets experience a higher earnings mobility?. UNU-MERIT.

Document type:
Report

Metadata
Documents
Versions
Statistics
  • Attached Files (Some files may be inaccessible until you login with your UNU Collections credentials)
    Name Description MIMEType Size Downloads
    wp2011-070.pdf PDF application/pdf 362.10KB
  • Sub-type Working paper
    Author Sologon, Denisa Maria
    O'Donoghue, Cathal
    Title Earnings Mobility in Europe: 1994-2001 - Do more flexible labour markets experience a higher earnings mobility?
    Publication Date 2011
    Place of Publication Maastricht, NL
    Publisher UNU-MERIT
    Pages 38
    Abstract The economic reality of the 1990s in Europe forced the labour markets to become more flexible. Using a consistent comparative dataset for 14 European countries, the European Community Household Panel (ECHP), we explore the evolution and the cross-national differences in earnings mobility across Europe between 1994 and 2001 from three angles: first, the evolution of short-term inequality and its link with cross-sectional inequality; second, the evolution of long-term mobility relative to short-term mobility and the implications for long-term inequality; third, we try to understand the cross-national differences in earnings mobility across Europe by exploring the cross-country heterogeneity in labour market policies/institutions. We explore the rank mobility and mobility as an equalizer of longer-term earnings. We find evidence supporting a negative association between the evolution of earnings inequality and earnings mobility. More flexible labour markets, with low levels of regulation and with a high labour market support are found to have higher earnings mobility. Similarly, unionization and corporatism are positively associated with earnings mobility. The "Flexicurity" countries (Denmark and Finland) have among the highest earnings mobility levels in Europe, close to the Anglo-Saxon countries (Ireland and the UK), whereas the Mediterranean countries with a strict regulation and a low labour market support have the lowest mobility. Portugal is the only country with disequalizing mobility in a long-term perspective
    Keyword Earnings mobility
    Inequality
    Distributional change
    Labour market policies and institutions
    JEL D31
    D39
    D63
    J08
    J31
    J50
    J60
    Copyright Holder UNU-MERIT
    Copyright Year 2011
    Copyright type All rights reserved
  • Versions
    Version Filter Type
  • Citation counts
    Google Scholar Search Google Scholar
    Access Statistics: 402 Abstract Views, 44 File Downloads  -  Detailed Statistics
    Created: Wed, 11 Dec 2013, 16:14:48 JST