Why has wage inequality risen?

Wage inequality has increased in many economies in recent decades. Discuss the three leading hypotheses regarding the causes of this increase. What does the empirical evidence tell us about the quantitative importance of each of these factors? The US economy has almost double since the 1970s, and labour productivity has risen over this period. Yet real wages for Read more about Why has wage inequality risen?[…]

Everyday Economics – Why are consumer prices generally higher in urban areas than in rural areas?

In condensed urban areas there are many (potential) consumers and many firms operating to produce and sell to these consumers. The retail industry could be seen as operating between perfect competition and monopolistic competition, most retail establishments (including corner shops and the larger chains who sell branded goods; not including own brands) sell homogeneous goods Read more about Everyday Economics – Why are consumer prices generally higher in urban areas than in rural areas?[…]