More on Identification in Detailed Wage Decompositions

Javier Gardeazabal and Arantza Ugidos

The Review of Economics and Statistics, 2004, vol. 86, issue 4, 1034-1036

Abstract: Wage decompositions are often used to decompose wage differentials of two demographic groups into differences in characteristics and differences in returns to those characteristics. The latter part is used as an estimate of the degree of discrimination. A problem with this approach is that the contributions of individual dummy variables to the wage decomposition are not identified. This note proposes a simple solution to the identification problem. The solution is illustrated with an empirical application to Spanish labor market data. © 2004 President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Date: 2004
References: Add references at CitEc
Citations: View citations in EconPapers (123)

Downloads: (external link)
http://www.mitpressjournals.org/doi/pdf/10.1162/0034653043125239 link to full text (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: More on identification in detailed wage decompositions
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:tpr:restat:v:86:y:2004:i:4:p:1034-1036

Ordering information: This journal article can be ordered from
https://mitpressjour ... rnal/?issn=0034-6535

Access Statistics for this article

The Review of Economics and Statistics is currently edited by Pierre Azoulay, Olivier Coibion, Will Dobbie, Raymond Fisman, Benjamin R. Handel, Brian A. Jacob, Kareen Rozen, Xiaoxia Shi, Tavneet Suri and Yi Xu

More articles in The Review of Economics and Statistics from MIT Press
Bibliographic data for series maintained by The MIT Press ().