Journal Article

Changes in the distribution of male and female wages accounting for employment composition using bounds

Authors

Publication date

2007

Abstract

This paper examines changes in the distribution of wages using bounds to allow for the impact of nonrandom selection into work. We show that worst case bounds can be informative. However, because employment rates in the United Kingdom are often low, they are not informative about changes in educational or gender wage differentials. Thus we explore ways to tighten these bounds using restrictions motivated from economic theory. With these assumptions, we find convincing evidence of an increase in inequality within education groups, changes in educational differentials, and increases in the relative wages of women.

Published in

Econometrica

Volume

75 (2):323-363

Subjects

Labour Market and Wages And Earnings

Links

http://serlib0.essex.ac.uk/search/s?SEARCH=econometrica&sortdropdown=-&submit=Submit

Notes

Albert Sloman Library Periodicals *restricted to Univ. Essex registered users*

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