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Which Human Capital Matters for Rich and Poor’s Wages? Evidence from Matched Worker-Firm Data from Tunisia

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  • Muller, Christophe
  • Nordman, Christophe Jalil

Abstract

We study the returns to human capital for workers observed in Tunisian matched worker-firm data in 1999. This tells us how these returns differ from those obtained in industrialised countries with matched data. We develop a new method based on multivariate analysis of firm characteristics, which allows us most of the benefits obtained by introducing firm fixed effects in wage equations fo studying the effect of education. It also provides a human capital interpretation of these firm effects Moreover, using three firm characteristics easily collectable yields results close to those obtained by using the matched structure of the data. Wage regressions including the computed factors confirm tha human capital is associated with positive intra-firm externality on wages. Therefore, a given worke would be more productive and better paid in an environment strongly endowed in human capital However, the poorest workers do not take advantage of human capital in the firm. Conversely, the poor benefit from working in the textile sector in terms of wages unlike the middle and high wage workers.

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Bibliographic Info

Paper provided by Paris Dauphine University in its series Economics Papers from University Paris Dauphine with number 123456789/4462.

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Date of creation: 2004
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Publication status: Published in DIAL Document de travail, 2004
Handle: RePEc:dau:papers:123456789/4462

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Keywords: Tunisia; factor analysis; quantile regressions; matched worker-firm data; returns to human capital; wage;

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Cited by:
  1. Mohamed Jellal & Christophe Nordman & Francois-Charles Wolff, 2008. "Evidence on the glass ceiling effect in France using matched worker-firm data," Applied Economics, Taylor & Francis Journals, vol. 40(24), pages 3233-3250.
  2. Nordman, Christophe Jalil & Wolff, François-Charles, 2009. "On-the-job learning and earnings: Comparative evidence from Morocco and Senegal," Economics Papers from University Paris Dauphine 123456789/5948, Paris Dauphine University.
  3. Christophe J. Nordman & François-Charles Wolff, 2007. "Is There A Glass Ceiling in Morocco? Evidence from Matched Worker-Firm Data," Working Papers 0720, Economic Research Forum, revised Dec 2007.
  4. Christophe Muller & Christophe Nordman, 2005. "Human Capital And Wages In Two Leading Industries Of Tunisia: Evidence From Matched Worker-Firm Data," Working Papers. Serie AD 2005-07, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).

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