Publication:
Labor Market Experience and Falling Earnings Inequality in Brazil: 1995–2012

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creativeworkseries.issn1564-698X
dc.contributor.authorFerreira, Francisco H G
dc.contributor.authorFirpo, Sergio P
dc.contributor.authorMessina, Julián
dc.date.accessioned2023-12-15T20:18:54Z
dc.date.available2023-12-15T20:18:54Z
dc.date.issued2021-03-25
dc.description.abstractThe Gini coefficient of labor earnings in Brazil fell by nearly a fifth between 1995 and 2012, from 0.50 to 0.41. The decline in other measures of earnings inequality was even larger, with the 90-10 percentile ratio falling by almost 40 percent. Applying micro-econometric decomposition techniques, this study parses out the proximate determinants of this substantial reduction in earnings inequality. Although a falling education premium did play a role, in line with received wisdom, this study finds that a reduction in the returns to labor market experience was a much more important factor driving lower wage disparities. It accounted for 53 percent of the observed decline in the Gini index during the period. Reductions in horizontal inequalities – the gender, race, regional and urban-rural wage gaps, conditional on human capital and institutional variables – also contributed. Two main factors operated against the decline: a greater disparity in wage premia to different sectors of economic activity, and the “paradox of progress”: the mechanical inequality-increasing effect of a more educated labor force when returns to education are convex.en
dc.identifierhttp://documents.worldbank.org/curated/en/099752112082315003/IDU0a0ca222d0a1e6049520a4750fac71dbb8c38
dc.identifier.citationThe World Bank Economic Review
dc.identifier.doi10.1596/40745
dc.identifier.issn0258-6770 (print)
dc.identifier.issn1564-698X (online)
dc.identifier.urihttps://openknowledge.worldbank.org/handle/10986/40745
dc.languageEnglish
dc.language.isoen_US
dc.publisherPublished by Oxford University Press on behalf of the World Bank
dc.relation.ispartofseriesWorld Bank Economic Review
dc.rightsCC BY-NC-ND 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/3.0/igo
dc.subjectEARNINGS INEQUALITY
dc.subjectBRAZIL
dc.subjectRETURNS TO EXPERIENCE
dc.titleLabor Market Experience and Falling Earnings Inequality in Brazil: 1995–2012en
dc.typeJournal Article
dspace.entity.typePublication
okr.associatedcontenthttps://academic.oup.com/wber/article/36/1/37/6188498 Journal website (version of record)
okr.crossref.titleLabor Market Experience and Falling Earnings Inequality in Brazil: 1995–2012
okr.date.disclosure2021-03-25
okr.date.lastmodified2023-12-08T00:00:00Zen
okr.doctypeJournal Article
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/099752112082315003/IDU0a0ca222d0a1e6049520a4750fac71dbb8c38
okr.guid099752112082315003
okr.identifier.docmidIDU-a0ca222d-a1e6-4952-a475-fac71dbb8c38
okr.identifier.doidoi.org/10.1093/wber/lhab005
okr.identifier.doihttp://dx.doi.org/10.1596/40745
okr.identifier.externaldocumentum34210702
okr.identifier.internaldocumentum34210702
okr.identifier.report186285
okr.import.id2582
okr.importedtrueen
okr.language.supporteden
okr.pagenumber37–67
okr.pdfurlhttp://documents.worldbank.org/curated/en/099752112082315003/pdf/IDU0a0ca222d0a1e6049520a4750fac71dbb8c38.pdfen
okr.peerreviewAcademic Peer Review
okr.region.administrativeLatin America & Caribbean
okr.region.countryBrazil
okr.topicPoverty Reduction::Inequality
okr.topicSocial Protections and Labor::Labor Markets
okr.unitOff of Sr VP Dev Econ/Chief Econ (DECVP)
okr.volume36 (1)
relation.isAuthorOfPublication6610b5d1-45b5-5f8a-864f-5d79bae5927c
relation.isAuthorOfPublication.latestForDiscovery6610b5d1-45b5-5f8a-864f-5d79bae5927c
relation.isJournalIssueOfPublication82d9a6d0-3723-4c13-a779-18edb097fa02
relation.isJournalIssueOfPublication.latestForDiscovery82d9a6d0-3723-4c13-a779-18edb097fa02
relation.isJournalOfPublicationc41eae2f-cf94-449d-86b7-f062aebe893f
relation.isJournalVolumeOfPublicationdd213de9-52ab-40e9-bb44-86bf0edc81b4
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