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Wage inequalities in France 1976-2004: a quantile regression analysis

Author

Listed:
  • P. CHARNOZ

    (Insee-Crest)

  • É. COUDIN

    (Ensae)

  • M. GAINI

    (Insee)

Abstract

This paper studies changes in wage differentials accross education groups for full-time male workers in the French private sector, from 1976 to 2004. We apply quantile regressions to Mincer-type equations to disentangle between- and within-education group wage inequalities, and we describe separately their evolutions. We use a matched dataset of administrative data and Census information, which contains yearly data. Our main results are: (1) the overall wage inequality was stable from 1976 to 1992 and slightly decreased from 1995 to 2004. (2) Within-education group wage inequalities increase with education and are higher across non-vocational degrees than vocational ones. (3) Between-education group wage inequalities increase with experience. (4) The within-education group wage inequalities were rather stable from 1976 to 1992 and decreased between 1995 and 2004, strongly for low levels of experience. (5) The between-education group wage inequalities decreased all over the period, due to decreasing education premiums, particularly for low levels of experience. These results are related to the dramatic evolutions of the French labor market during this period: older cohorts gradually replaced by more educated ones, unemployment and minimum wage rises.

Suggested Citation

  • P. Charnoz & É. Coudin & M. Gaini, 2011. "Wage inequalities in France 1976-2004: a quantile regression analysis," Documents de Travail de l'Insee - INSEE Working Papers g2011-06, Institut National de la Statistique et des Etudes Economiques.
    • Handle: RePEc:nse:doctra:g2011-06
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    File URL: https://www.bnsp.insee.fr/ark:/12148/bc6p06zqzpv/f1.pdf
    File Function: Document de travail de la DESE numéro G2011-06
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    More about this item

    Keywords

    wage differentials by skills; wage inequality; within-group wage inequality; between-group wage inequality; return heterogeneity; quantile regressions;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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