Wage disparities in the urban labour market

A number of studies have confirmed that in all capitalist * economies which have attained a certain degree of industrial development a segmentation of the urban formal labour market occurs, one of the consequences of which is greater inequality in wages and salaries. The author explains this phenomenon by postulating as a general hypothesis that the level of remunerations is determined by the overt or latent conflict between entrepreneurs and workers, and that many of the changes in the industrial structure derive from the efforts of entrepreneurs to obviate its destabilizing effects.