IZA DP No. 579: Decomposing Inequality Change in East Germany During Transition
published as: 'Decomposing Male Inequality Change in East Germany During Transition' in: Schmollers Jahrbuch: Zeitschrift für Wirtschafts- und Sozialwissenschaften /Journal of Applied Social Science Studies, 2003, 123 (1), 43-54
This paper studies the cause of the changes, or lack of, in wage inequality in East Germany during its transition from a socialist to a market-oriented economic system. We are interested in how much of the change in the dispersion of wages can be explained by the changes in the characteristics of workers and how much can be explained by the changes in returns to characteristics of workers.