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An analysis of the relationship between wages in the public and private sector in colombia: a panel data approach

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  • Jesús Otero

    ()

  • Luis Fernando Gamboa

    ()

  • Andrés García-Suaza

    ()

Abstract

This document examines the time-series properties of the wage differentials that arise between the public and private sector in Colombia during the sample period 1984 to 2005. We find conflicting results in unit-root and stationarity tests when looking at wage differentials at an aggregate level (such as for men, women or both). However, when we analyse wage differentials at higher levels of disaggregation, treat them jointly as a panel of data, and allow for the presence of potential cross section dependence, there is more supportive evidence for the view that wage differentials are stationary. This implies that although wage differentials do exist, they have not been consistently increasing (or decreasing) over time.

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Bibliographic Info

Paper provided by UNIVERSIDAD DEL ROSARIO in its series DOCUMENTOS DE TRABAJO with number 008738.

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Length: 99
Date of creation: 31 Mar 2011
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Handle: RePEc:col:000092:008738

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