Wage differentials by gender in Venezuela (1997-1998): A two-step estimation approach
AbstractThis paper uses the information provided by the Household Sample Survey (1997-1998) to develop a model to explain the structure of wages by gender in Venezuela, taking into account variables such as sector of employment, age, education, among others, using the two-step method suggested by Heckman. Next, the study attempts to quantify, if any, the magnitude of the wage differential between the two groups and whether this is due to differences in the returns to human capital. Main results indicate a positive wage differential favoring women. This differential can be explained not only by the fact that women tend to have relatively higher levels of education, but also the returns to their human capital is higher, especially at the public sector level. Results also indicate that the probability of working or nor is significant in the estimation of the salary equation. It suggests a possible selection bias, corrected at least partly.
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Bibliographic InfoArticle provided by Instituto de Investigaciones Económicas y Sociales (IIES). Facultad de Ciencias Económicas y Sociales. Universidad de Los Andes. Mérida, Venezuela in its journal Economia.
Volume (Year): 32 (2007)
Issue (Month): 23 (january-june)
Contact details of provider:
Postal: Facultad de Ciencias Económicas y Sociales. Instituto de Investigaciones Económicas y Sociales. Campus Universitario Liria, Edificio G, Tercer Nivel. Mérida 5101, Estado Mérida, Venezuela
Phone: +58 74 401111 ext. 1081
Fax: +58 74 401120
Web page: http://iies.faces.ula.ve/
More information through EDIRC
Wage differentials by gender in Venezuela; selection bias; Heckman´s two step method.;
Find related papers by JEL classification:
- J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- J8 - Labor and Demographic Economics - - Labor Standards
- J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition
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- Lisa Barrow & Cecilia Rouse, 2000. "Using Market Valuation to Assess the Importance and Efficiency of Public School Spending," Working Papers 438.pdf, Princeton University, Department of Economics, Industrial Relations Section..
- Francine D. Blau & Lawrence M. Kahn, 2000.
"Gender Differences in Pay,"
Journal of Economic Perspectives,
American Economic Association, vol. 14(4), pages 75-99, Fall.
- Heckman, James J, 1990. "Varieties of Selection Bias," American Economic Review, American Economic Association, vol. 80(2), pages 313-18, May.
- Hoffnar, Emily & Greene, Michael, 1996. "Gender discrimination in the public and private sectors: A sample selectivity approach," The Journal of Socio-Economics, Elsevier, vol. 25(1), pages 105-114.
- Greene, William H, 1981. "Sample Selection Bias as a Specification Error: Comment," Econometrica, Econometric Society, vol. 49(3), pages 795-98, May.
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