What Would the Average Public Sector Employee be Paid in the Private Sector?
Economics Working Papers from School of Economics, University of Wollongong, NSW, Australia
This paper estimates the average Australian public sector wage premium. It includes a detailed critical review of the methods available to address this issue. The chosen approach is a quasi-differenced panel data model, estimated by the Generalised Method of Moments, which has many advantages over other methods and has not been used before for this topic. I find a positive average public sector wage premium for both sexes. The best estimates are 6.7% for men and 10.5% for women. The estimate is statistically significant for men (p = 0.024) and for women (p
Keywords: public sector; wages; premium; panel data; GMM; Australia (search for similar items in EconPapers)
JEL-codes: J31 J38 J45 (search for similar items in EconPapers)
Pages: 29 pages
New Economics Papers: this item is included in nep-lab
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Persistent link: https://EconPapers.repec.org/RePEc:uow:depec1:wp08-05
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