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A comparison of different estimates of interindustry wage differentials: the case of Brazil

Jorge Arbache

Applied Economics Letters, 1999, vol. 6, issue 2, 67-71

Abstract: This paper compares the results from two procedures for estimating wage differentials. Using Brazilian data, the standard procedure of Krueger and Summers (Econometrica, 56, 259-193, 1988) is shown to provide an overestimation of standard errors and a biased estimation of the measure of wage dispersion, in comparison to the methodology proposed by Haisken-DeNew and Schmidt (Review of Economics and Statistics, forthcoming, 1997).

Date: 1999
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DOI: 10.1080/135048599353654

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