Figure 4
Prediction for the college/noncollege wage gap. The predicted wage gap is the fitted value from an OLS regression of the college/noncollege wage gap for the years 1984 to 2009 on a constant and the college/noncollege relative supply measure (Column (1) of Table 4). The college/noncollege log relative supply index is the logarithm of the ratio of college equivalent to noncollege equivalent labor supply in efficiency units in each year.