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Sociological Methods & Research
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On Analyzing Earnings Inequality in Segmented Labor Markets

LAWRENCE E. RAFFALOVICH

University of Texas at Austin

In this article, I describe a methodology for analyzing the earnings distribution in segmented labor markets. I model earnings inequality as a function of labor market structure, then model change in the distribution of earnings between and within labor markets as a function of aggregate economic performance. Finally, I derive statistical models that can be estimated with existing data on earnings and employment. I conclude by discussing the relevance of this methodology for adjudicating theoretical issues in the political economy of inequality.

Sociological Methods & Research, Vol. 16, No. 3, 339-378 (1988)
DOI: 10.1177/0049124188016003001
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[Abstract]