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The Role of Establishments and the Concentration of Occupations in Wage Inequality
The Role of Establishments and the Concentration of Occupations in Wage Inequality
Working Paper Number CES-15-26
Abstract
This paper uses the microdata of the Occupational Employment Statistics (OES) Survey to assess the contribution of occupational concentration to wage inequality between establishments and its growth over time. We show that occupational concentration plays an important role in wage determination for workers, in a wide variety of occupations, and can explain some establishmentlevel wage variation. Occupational concentration is increasing during the 2000-2011 time period, although much of this change is explained by other observable establishment characteristics. Overall, occupational concentration can help explain a small amount of wage inequality growth between establishments during this time period.
Page Last Revised - October 8, 2021
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