Parameter estimates comparison of earnings functions in the PSID and CPS data, 1976–2007

Elena Gouskova

Economics Letters, 2014, vol. 122, issue 2, 353-357

Abstract: Comparing earnings equations in the Panel Study of Income Dynamics (PSID) and the Current Population Survey, we find that the PSID considerably underestimates the returns to education during the 1992–2007 period. Non-random selection in the PSID sample appears to be the reason.

Keywords: Attrition; Panel data; Sample selection; Earnings equation; Returns to education (search for similar items in EconPapers)
JEL-codes: C83 D31 J24 (search for similar items in EconPapers)
Date: 2014
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:122:y:2014:i:2:p:353-357

DOI: 10.1016/j.econlet.2013.12.027

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