. Author manuscript; available in PMC: 2015 Feb 9.

Published in final edited form as: J Econ Inequal. 2011 Sep;9(3):439–459. doi: 10.1007/s10888-010-9154-z

Table 10.

Steady-State Variance Components Implied by the Estimated Error Components Models

	Within			Total
	Permanent	Transitory	Rho	Permanent	Transitory	Rho
Age 20
1969	.061	.118	.34	.088	.118	.43
1987	.122	.216	.36	.154	.212	.42
Age 30
1969	.072	.127	.36	.109	.127	.46
1987	.144	.258	.36	.192	.256	.43

Notes: The permanent variance is the estimated value of Var(μ_iat) at 1969 and 1987 values. The transitory variance is the estimated value of Var(ν_iat) at 1969 and 1987 values of the parameters. The model estimates in column (1) of Table 5 and the analogous estimates for total log earnings are used.