Overview
Wage dynamics and inequality are crucial concepts in understanding the economic landscape. Wage dynamics refer to the changes in wages over time, influenced by various factors such as inflation, labor demand, and education levels. Inequality, on the other hand, examines how income is distributed amo...
Key Terms
Example: An hourly wage of $15 means a worker earns $15 for each hour worked.
Example: In some countries, the richest 10% earn significantly more than the poorest 10%.
Example: A Gini coefficient of 0.25 indicates low income inequality.
Example: If inflation is 2%, a $100 item will cost $102 next year.
Example: In many states, the minimum wage is set at $7.25 per hour.
Example: Higher earners pay a larger percentage of their income in taxes.
Related Topics
Labor Economics
The study of how labor markets function and the dynamics of employment and wages.
intermediateGlobalization and Labor
Explores how globalization affects labor markets and wage structures worldwide.
advancedSocial Justice and Economics
Examines the intersection of economic policies and social justice issues, including inequality.
intermediateKey Concepts
wage growthincome inequalitylabor marketeconomic mobility