Far Away from a Skill-Biased Change: Falling Educational Wage Premia in Italy

29 Pages Posted: 6 Feb 2010

See all articles by Andrea Ricci

Andrea Ricci

University of Perugia; ISFOL

Emiliano Rustichelli


Paolo Naticchioni

University of Rome I; University of Cassino

Date Written: February 5, 2010


In this paper we apply quantile regressions to investigate the evolution of Educational Wage Premia (EWP) in Italy from 1993 to 2004. Using the Survey of the Household Income and Wealth (SHIW - Bank of Italy) and different classifications for educational attainments, we show that in the private sector EWP have generally decreased over time, considering both continuous and categorical specifications for education, at all quantiles of the wage distribution. Different patterns are observed in the public sector, where EWP remain basically stable over time. A number of robustness checks and various econometric specifications are also applied in order to address sample selection issues. Our findings provide additional evidence in favour of the thesis that the increasing patterns in inequality and EWP, and the related interpretations concerning skill-biased changes, are much less pronounced in continental Europe than in Anglo Saxon countries.

Keywords: Educational wage premia, Returns to education, Quantile regression, Italy

JEL Classification: I20, J24, J31

Suggested Citation

Ricci, Andrea and Rustichelli, Emiliano and Naticchioni, Paolo, Far Away from a Skill-Biased Change: Falling Educational Wage Premia in Italy (February 5, 2010). Applied Economics, Forthcoming, Available at SSRN: https://ssrn.com/abstract=1548646

Andrea Ricci

University of Perugia

Via Pascoli 22
Perigoa, 06121



Emiliano Rustichelli

ISFOL ( email )


Paolo Naticchioni (Contact Author)

University of Rome I ( email )

Piazzale Aldo Moro 5
Roma, Rome 00185

University of Cassino ( email )


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