Abstract

We study the correlates of the monthly establishment wage—the average monthly wage at the establishment level—and changes in wage dispersion between plants using a model of manufacturing developed by Goldin and Katz and data from manuscript censuses of manufacturing. We find that wages were decreasing in establishment size, but increasing in capital intensity and use of steam power. We also find an increase in inequality in the establishment wage between 1850 and 1880. Most of the increase occurred below the median wage and can be attributed, in part, to the growing concentration of employment in large establishments.

Keywords

Wage dispersionWageEconomicsDispersion (optics)Intensity (physics)Labour economicsWage inequalityCapital intensityPower (physics)Capital (architecture)Demographic economicsEfficiency wageHuman capitalGeographyEconomic growth

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Publication Info

Year
2004
Type
article
Volume
64
Issue
1
Pages
172-192
Citations
81
Access
Closed

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Jeremy Atack, Fred Bateman, Robert A. Margo (2004). Skill Intensity and Rising Wage Dispersion in Nineteenth-Century American Manufacturing. The Journal of Economic History , 64 (1) , 172-192. https://doi.org/10.1017/s0022050704002645

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DOI
10.1017/s0022050704002645