Title: Factors that explain wage inequality - Economics Help
Headings: Factors that explain wage inequality
Factors that explain wage inequality
Brief overview of wage inequality
Factors that explain wage inequality
To what extent does MRP theory determine wages?
3. Monopsony
Sources of monopsony power and wage inequality
4. Part-time / temporary work
5. Wage inequality due to hours worked / rather than wage rates
6. Discrimination
7. Geographical differences
8. Insider/outsider theories
9. Profitability of different industries
Reasons for growth in wage inequality in past decades
Related

Content: 10. Globalisation/trade liberalisation Trade liberalisation has led to a shift in the structure of the economy. It is cheaper to import labour-intensive goods from emerging economies. This leads to lower demand for unskilled workers in the West. It leads to higher demand for skilled workers in industries with comparative advantage. 11. Inherited privilege With education becoming an important factor in determining lifetime wages, young people from high income / wealthy families tend to have better access to educational opportunities. This can give a help to boosting wages. Reasons for growth in wage inequality in past decades
Source: IFS
The biggest growth in wages is from top 1% of earners, and even greater increase in the top 0.1%.