There is a great deal of interest in how individual earnings change over time and the degree of mobility. Do people keep the same place on the earnings scale, or is there a great deal of fluidity? In recent years new sources of data have become available, particularly from panel surveys. This book reviews the literature on earnings mobility, both theoretical and empirical. The first section provides an analytical framework to put different studies in perspective and considers the measurement of mobility, followed by a description of the range of empirical evidence available in the US, UK, France, Canada, Germany and other countries. The final part examines the results which have been reached regarding the degree of mobility and the econometric modelling of earnings changes over time, ending with a summary of the main conclusions and the scope for future research.
