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Differences in Positions along a Hierarchy: Counterfactuals Based on an Assignment Model

Author

Listed:
  • Laurent Gobillon
  • Dominique Meurs
  • Sébastien Roux

Abstract

We propose an assignment model in which positions along a hierarchy are attributed to individuals depending on their characteristics. Our theoretical framework can be used to study differences in assignment and pay-offs across groups and we show how it can motivate decomposition and counterfactual exercises. In an application, we study gender disparities in the public and private sectors with a French exhaustive administrative dataset. The gender wage gap in the public sector is 13.3% and it increases by only 0.7 percentage points when workers are assigned to job positions according to the rules of the private sector.

Suggested Citation

  • Laurent Gobillon & Dominique Meurs & Sébastien Roux, 2022. "Differences in Positions along a Hierarchy: Counterfactuals Based on an Assignment Model," Annals of Economics and Statistics, GENES, issue 145, pages 29-74.
  • Handle: RePEc:adr:anecst:y:2022:i:145:p:29-74
    DOI: https://doi.org/10.2307/48655901
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    Cited by:

    1. Matthieu Bunel & Dominique Meurs & Élisabeth Tovar, 2024. "Moving apart: job-driven residential mobility and the gender pay gap Evidence from a large industrial firm," Working Papers hal-04461137, HAL.
    2. Bargain, Olivier B. & Etienne, Audrey & Melly, Blaise, 2018. "Public Sector Wage Gaps over the Long-Run: Evidence from Panel Administrative Data," IZA Discussion Papers 11924, Institute of Labor Economics (IZA).

    More about this item

    Keywords

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    JEL classification:

    • C51 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Construction and Estimation
    • 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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