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Public–Private Wage Gap in the Indian Mining and Quarrying Industry

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  • Chandan Kumar Mohanty
  • Smrutirekha Mohanty

Abstract

This article examines if there is a wage gap between public and private mining (and quarrying) workers in India, using the NSS data (2004–2005, 2009–2010 and 2011–2012). We employ linear and quantile regressions to estimate the wage gap. The ordinary least squares (OLS) results suggest that workers in the public sector mines (and quarries) earn 59 per cent more than their private sector counterparts. However, the wage gap is not uniform across the conditional wage distribution. The quantile regression estimates show that the magnitude of the wage gap is larger at the bottom quantile than at the top; the gap reduces as we move up the wage distribution. Observations drawn from our sub-sample analysis concur with these findings. JEL Classification: J21, J31, J45

Suggested Citation

  • Chandan Kumar Mohanty & Smrutirekha Mohanty, 2019. "Public–Private Wage Gap in the Indian Mining and Quarrying Industry," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 13(2), pages 232-253, May.
    • Handle: RePEc:sae:mareco:v:13:y:2019:i:2:p:232-253
    DOI: 10.1177/0973801018812526
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    More about this item

    Keywords

    Public-Private Wage Gap; Mining and Quarrying Industry; India; National Sample Survey; Ordinary Least Squares; Quantile Regression;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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