Tell Me Who Pays You, I'll Tell You How Much You Earn
— February 4, 2021
By Thomas Philippon
Part of this increase reflects the growing importance of education. In 1981, a person with a higher education earned about 50% more than a person who left high school. In 2013 this education bonus was 100%. However, even by finely analyzing the evolution of income as a function of education, we can only explain a small part of the increases in inequalities.
Read the full Les Echos article.
Thomas Philippon is Max L. Heine Professor of Finance.