Education, cost of living and regional wage inequality in Brazil

Carlos Azzoni and Luciana M.S. Servo

Economics of Governance, 2002, vol. 81, issue 2, 157-175

Abstract: The objective of this article is to analyze wage inequality among the 10 largest metropolitan regions in Brazil in the 1990s. We assess the extent to which worker characteristics (education, age, gender, race, position in the family) and job characteristics (occupational position, sector, experience) can explain wage inequality. The analysis is made both with regional-nominal and with regional-real wage data. In the second case regional price indexes are used to control for differences in cost of living among regions. Wage differentials in Brazil were slightly lowered when control variables were introduced, but the leftover inequality remained high. The results indicate that cost of living levels do have a role in explaining wage inequality in Brazil, but even after controlling for this factor, the remaining regional differentials are still important. Copyright Regional Science Association International (RSAI) Urbana, USA 2002

Keywords: JEL classification: 230; 290; Key words: Brazil; regional wage inequality; cost of living differences; education and regional inequality (search for similar items in EconPapers)
Date: 2002
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Citations: View citations in EconPapers (21)

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Persistent link: https://EconPapers.repec.org/RePEc:spr:ecogov:v:81:y:2002:i:2:p:157-175

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DOI: 10.1007/s101100200105

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