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Generalized Glass Ceilings in the United States – A Stochastic Metafrontier Approach

Khalid Maman Waziri
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Khalid Maman Waziri: GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique - AMU - Aix Marseille Université - EHESS - École des hautes études en sciences sociales

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Abstract: This paper highlights the limitations inherent to the stochastic earnings frontier methodology to analyzing wage discrimination and introduces the use of the metafrontier approach as an important improvement. Using US data from the Current Population Survey, we find that white women's and black men's maximum attainable hourly earnings represent respectively 80% and 76% of those of white men on average. Furthermore, the metafrontier approach shows that male-female and white-black differences in maximum attainable earnings are observed at all levels of human capital. This innovative methodology permits the identification of a "generalized" glass ceilings against females and blacks in the US.

Keywords: stochastic frontier; glass ceiling; sample selection correction; stochastic metafrontier approach; wage differentials; discrimination (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eff and nep-gen
Date: 2017-08
Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-01569834v2
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