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A Multi-step Process Approach for Estimating Public Sector Wages. The Spanish Expe¬rience

Patricia Moreno-Mencía (), Juan M. Rodríguez-Poo () and David Cantarero-Prieto ()
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Patricia Moreno-Mencía: International University of La Rioja. Group of Health Economics and Health Services Management.UC - IDIVAL
Juan M. Rodríguez-Poo: Universidad de Cantabria
David Cantarero-Prieto: Group of Health Economics and Health Services Management. University of Cantabria - IDIVAL

Hacienda Pública Española / Review of Public Economics, 2021, vol. 237, issue 2, 33-56

Abstract: We propose a semiparametric model including problems of sample selection and endogeneity. Concretely, we focus on studying the effect of tenure in public sector wages. Here we face two problems: Public wages are only observed for public employees and the tenure is endogenous. The chosen method allows the introduction of a nonparametric control function and relaxing usual strong assumptions. This approach is applied to a wage model for the Spanish Public Sector, using the wage structure survey of 2016.

Keywords: Control function estimators; Sample selection; Semilinear model; Spanish wage structure survey (search for similar items in EconPapers)
JEL-codes: C31 C41 C50 H00 J30 (search for similar items in EconPapers)
Date: 2021
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Handle: RePEc:hpe:journl:y:2021:v:237:i:2:p:33-56