Andrea Borgarello, Francesco Devicienti

Using a panel of administrative Italian data (source: INPS), this paper provides new empirical evidence on the changes in the earnings distribution that occurred in Italy over a relatively long time period (1985-1996). Various statistical indicators have been used to document a slight, but not negligible, increase in earnings inequality. Decompositions by population subgroups have shed light on the underlying causes of the observed distributional changes.

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