TY - JOUR AU - Lemieux,Thomas TI - The Changing Nature of Wage Inequality JF - National Bureau of Economic Research Working Paper Series VL - No. 13523 PY - 2007 Y2 - October 2007 UR - http://www.nber.org/papers/w13523 L1 - http://www.nber.org/papers/w13523.pdf N1 - Author contact info: Thomas Lemieux Department of Economics University of British Columbia #997-1873 East Mall Vancouver, BC V6T 1Z1 CANADA Tel: 604/822-2092 Fax: 604/822-5915 E-Mail: thomas.lemieux@ubc.ca AB - The paper reviews recent developments in the literature on wage inequality, with a particular focus on why inequality growth has been particularly concentrated in the top end of the wage distribution over the last 15 years. Several possible institutional and demand-side explanations are discussed for the secular growth in wage inequality in the United States and other advanced industrialized countries. The paper concludes that three promising explanations for the growth in top-end wage inequality are de-unionization, the increased prevalence of pay for performance, and changes in the relative demand for the types of tasks performed by workers in high-paying occupations. ER -