In this paper we study the evolution of lifetime labour income inequality by constructing present value life cycle measures that incorporate both earnings and employment risk. We find that, even though lifetime income inequality is 40% less than earnings inequality, the total increase in...

In this paper we analyze an equilibrium search model with three sources for wage and unemployment differentials among workers with the same (observed) human capital but different appearance (race): unobserved productivity (skill), search intensities and discrimination (Becker 1957) due to an...

In this paper we determine the feasibility of using data from the Panel Study of Income Dynamics to estimate the Burdett-Mortensen general equilibrium search model. The data contain sufficient information on wages, labor force states, durations, and transitions to generate estimates of the...

Evidence from the U.S. National Longitudinal Survey of Youth and the Canadian Labour Market Activity Survey shows differences in both incidence and duration give rise to the mid-1980 US-Canadian nonemployment rate gap of young, low skilled males. Canadians are more likely to experience a...

In this paper we study the effects of abusive behavior on the labor force and marital status decisions of women. Using a unique Canadian data set on domestic violence, we estimate the effects of abuse on the marital history as well as current employment using a sequential, multi-state model. In...

In this paper we analyze an equilibrium search model with three sources for wage and unemployment differentials among workers with the same (observed) human capital but different appearance (race): unobserved productivity (skill), search intensities and discrimination (Becker 1957) due to an...

In this paper new estimates of human capital prices and quantities, taking into account technological change in human capital production and endogenous education choice, are presented for both Canada and the United States. The implications of the estimates for the sources of growth are examined....

This paper examines whether local labor market conditions at the time of high school graduation have long-term effects on wages. We find that a higher unemployment rate raises the probability of staying in school after finishing high school of white males, but reduces that of black males. A...

Separate identification of the price and quantity of human capital has important implications for understanding key issues in economics. Price and quantity series are derived for four education levels. The price series are highly correlated and they exhibit a strong secular trend. Three...

We compare earnings inequality and mobility across the U.S., Canada, France, Germany and the U.K. during the late 1990s. A flexible model of earnings dynamics that isolates positional mobility within a stable earnings distribution is estimated. Earnings trajectories are then simulated, and...