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InterRegional Wage Differentials in Portugal: An Analysis Across the Wage Distribution

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Author Info

  • João Pereira

    ()
    (University of Évora, Department of Economics and CEFAGEUE)

  • Aurora Galego

    ()
    (University of Évora, Department of Economics and CEFAGEUE)

Abstract

TTypically, studies on regional wage differentials are based on OLS estimates and use Blinder (1973) and Oaxaca (1973) decomposition. Quantile regression is an alternative approach which allows for studying these differences across the whole wage distribution. In this study, the quantile regression framework is considered for the analysis of regional wage differences in Portugal. Our findings reveal significant differences in wage equations coefficients between regions for the various quantiles. Furthermore, we conclude that the regional wage differentials and the components explained by differences in endowments and differences in returns increase across the whole wage distribution.

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Bibliographic Info

Paper provided by University of Evora, CEFAGE-UE (Portugal) in its series CEFAGE-UE Working Papers with number 2011_25.

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Length: 39 pages
Date of creation: 2011
Date of revision:
Handle: RePEc:cfe:wpcefa:2011_25

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Keywords: Regions; Wage differentials; Quantile regression; Quantile-based decompositions.;

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Cited by:
  1. Jo�o Pereira & Aurora Galego, 2013. "Intra-Regional Regional Wage Inequality In Portugal: A Quantile Based Decomposition Analisys," ERSA conference papers ersa13p158, European Regional Science Association.
  2. Aurora Galego & João Pereira, 2013. "Decomposition of Regional Wage Differences Along the Wage Distribution in Portugal: the Importance of Covariates," CEFAGE-UE Working Papers, University of Evora, CEFAGE-UE (Portugal) 2013_16, University of Evora, CEFAGE-UE (Portugal).

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