This analysis uses data from the National Longitudinal Surveys to exam
ine wage inequality and wage mobility within the wage distribution for
young high school graduates during their early years in the labor mar
ket. The analysis constructs a new index that facilitates measuring mc
bility changes over time. The data indicate that no strong relationshi
p exists between wage mobility and wage inequality for young workers.
Controlling for time invariant differences between individuals also in
dicates that between the 1970s and 1980s factors that impact mobility
underwent very few changes.