An information based sample-selection estimation model of agricultural workers' choice between piece-rate and hourly work

Amos Golan, Enrico Morttie and Jeffrey Perloff

Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series from Department of Agricultural & Resource Economics, UC Berkeley

Abstract: This paper presents a new generalized maximum entropy (GME) approach to estimation of sample-selection models with small data sets, such as are found in many empirical agricultural economic analysis. For small samples, the GME approach produces more stable estimates and has smaller mean square error measures than other well-known estimators such as ordinary least squares, Heckman's two-step method, full-information maximum likelihood, and Ahn and Powell's method. The technique is used to analyze whether hired agricultural workers will work in piece-rate or time-rate jobs and to compare female-male wage differentials for both types of jobs.

Keywords: agricultural labor; agricultural wages; data analysis; entropy; monte carlo analysis; piece rates (search for similar items in EconPapers)
Date: 1998-12-01
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Related works:
Journal Article: An Information-Based Sample-Selection Estimation Model of Agricultural Workers' Choice between Piece-Rate and Hourly Work (1999)
Working Paper: An information based sample-selection estimation model of agricultural workers' choice between piece-rate and hourly work (1998)
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Persistent link: https://EconPapers.repec.org/RePEc:cdl:agrebk:qt1bz9m60s

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