The Reverse Regression Problem: Statistical Paradox or Artefact of Misspecification?

Jeffrey Racine and Paul Rilstone

Canadian Journal of Economics, 1995, vol. 28, issue 3, 502-31

Abstract: The usual approach to wage discrimination asks whether certain individuals receive lower wages for the same level of productivity characteristics. The reverse approach asks whether these individuals are more productive given the same wages. When these hypotheses are tested, incompatible conclusions seem to result. To circumvent specification problems, nonparametric techniques were used to estimate Canadian male-female wage/experience profiles. The findings indicate that, when the correct functional form is specified and the effects of childrearing activities are controlled for, there exists a wage/experience gap favoring men regardless of the approach, suggesting that the paradox may be simply an artifact of misspecification.

Date: 1995
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://links.jstor.org/sici?sici=0008-4085%2819950 ... RRPSP%3E2.0.CO%3B2-U (text/html)
only available to JSTOR subscribers

Related works:
Working Paper: The Reverse Regression Problem: Statistical Paradox or Artifact of Misspecification (1992)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cje:issued:v:28:y:1995:i:3:p:502-31

Ordering information: This journal article can be ordered from
https://www.economic ... ionen/membership.php

Access Statistics for this article

Canadian Journal of Economics is currently edited by Zhiqi Chen

More articles in Canadian Journal of Economics from Canadian Economics Association Canadian Economics Association Prof. Werrner Antweiler, Treasurer UBC Sauder School of Business 2053 Main Mall Vancouver, BC, V6T 1Z2. Contact information at EDIRC.
Bibliographic data for series maintained by Prof. Werner Antweiler ().