The study of wage dynamics over time is more insightful than the analysis of point-in-time inequality measures. In policy-making, indeed, low wage careers instead of low-wage jobs should be at the center of the debate on long-term wage inequality. Many previous studies tried to estimate the...

In this paper we develop a novel semi-nonparametric panel copula model with external covariates for the study of wage rank dynamics. We focus on nonlinear dependence between the current and lagged worker's ranks in the wage residuals distribution, conditionally on individual characteristics. We...