Table 4c

Overall and composition-adjusted changes in upper-tail and lower-tail inequality, 1979–2007

(1) (2) (3) (4)=(3)-(2) (5) (6) (7) (8)=(7)-(6)
50/10 50/10 with constant demographic and occupational composition 50/10 with constant demographic composition Change in 50/10 due to occupational composition 90/50 90/50 with constant demographic and occupational composition 90/50 with constant demographic  composition Change in 90/50 due to occupational composition
Men
1979 67.0 72.9 71.8 58.3 61.8 58.8
1989 71.4 74.9 70.7 69.0 74.3 72.1
2000 72.2 72.3 71.3 77.4 79.4 78.3
2007 71.1 71.1 71.1 82.3 82.3 82.3
1979-2007 4.1 -1.8 -0.7 1.1 24.0 20.5 23.5 3.0
1979-1989 4.4 2.0 -1.2 -3.1 10.7 12.5 13.3 0.8
1989-2000 0.9 -2.6 0.6 3.3 8.4 5.2 6.2 1.0
2000-2007 -1.1 -1.2 -0.2 1.0 4.9 2.8 4.0 1.2
Women
1979 39.1 48.3 41.1 57.3 62.1 59.0
1989 64.5 69.3 64.2 67.7 70.9 68.0
2000 59.0 63.2 58.8 75.7 75.4 75.9
2007 63.9 63.9 63.9 77.7 77.7 77.7
1979-2007 24.9 15.6 22.8 7.2 20.4 15.5 18.6 3.1
1979-1989 25.5 21.0 23.1 2.0 10.4 8.7 9.0 0.2
1989-2000 -5.5 -6.1 -5.4 0.7 8.0 4.6 7.9 3.4
2000-2007 4.9 0.7 5.1 4.4 2.0 2.3 1.7 -0.5

Note:  Column (1) is 100*[ln(50th percentile wage)−ln(10th percentile wage)].  Similarly column (5) is 100*[ln(90th percentile wage)−ln(50th percentile wage)]. Composition adjustments are made using the Dinardo, Fortin, and Lemieux (1996) kernel reweighting approach.  The demographic characteristics controlled for in the composition adjustments are a quartic in age, dummies for region of the country (using the four major census regions), marital status, and race/ethnicity (using mutually exclusive categories of white non-Hispanic, black non-Hispanic, Hispanic any race, and other).  The occupations are the 250+ detailed occupations.  The base year is 2007, which is further explained in the text.

Source:  Authors' analysis of Current Population Survey Outgoing Rotation Group microdata

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