Sunday, October 11, 2009: 12:15 PM
The primary purpose of this paper is to present the results of an empirical investigation of changes in wage inequality in Poland in a short run between 2002 and 2006. The research addresses the following issues: How did skill premium change between 2002 and 2006, including different level of education, different sectors and different occupations? What were patterns of changes in wage-income distribution, including different level of education, different sectors and different occupations? Which of the theoretical alternatives could be proper to explain changes in wage inequality in Poland? The analysis is based on two measures of wage inequality: the skill premium and the Gini coefficient, and the relative distribution-Handcock and Morris method. The sources of the data set are Eurostat and the Polish Family Budget Surveys. The findings reveal that technical change has not been large enough to guarantee a shift of skilled labor to high-tech sectors. Majority of tertiary-educated workers have been employed in lower technological sectors. Comparing 2006 and 2002 the skill premium declined in many sectors and in many occupations. Polarization of households income appeared within a group of elementary occupations. Keywords: wage inequality, skill premium, trade, technical change