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Title: Earnings Mobility: Permanent Change or Transitory Fluctuations?
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Gottschalk, Peter |
Earnings Mobility: Permanent Change or Transitory Fluctuations? Review of Economics and Statistics 64,3 (August 1982): 450-456. Also: http://www.jstor.org/stable/1925943 Cohort(s): Mature Women Publisher: Harvard University Press Keyword(s): Clare Jellick; Earnings; Husbands; Mobility; Schooling; Welfare Permission to reprint the abstract has not been received from the publisher. Analysis of always married, middle-aged males indicates that a considerable amount of variability in measured earnings reflects transitory variation. When these transitory fluctuations are eliminated, 43 percent of the persons with low earnings in a random year are seen to have low earnings in all of six years. This indicates a good deal of permanence within the low earnings population. Mobility patterns are found to vary with the person's place in the earnings distribution. The greatest amount of transitory variation in earnings is seen to have been experienced by those at the top and the bottom of the earnings distribution. Examination of demographic characteristics indicates that being non-white, older, having low education, or living in the Southern United States or outside an SMSA all increase the probability of having permanently low earnings more than they increase the probability of having temporarily low earnings. Households with a husband receiving permanently low earnings are seen to have been more unlikely to have a wife or other member working, and are more likely to receive public assistance. However, these other sources of income are not found to be sufficient to compensate for the head's low earnings in many cases. |
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Bibliography Citation
Gottschalk, Peter. "Earnings Mobility: Permanent Change or Transitory Fluctuations?" Review of Economics and Statistics 64,3 (August 1982): 450-456.
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