Wage differentials in Mexico's urban labor market
We estimate wage differentials across different segments of the Mexican urban labor market. We use a panel sample of individuals which allows us to control for workers' observable and non-observable characteristics, by focusing on wage changes reported by individuals who move from one sector to another. The results suggest that the wage differential between the formal and informal sectors is positive and significant, and larger than the differential between industry and services. While we cannot distinguish formally between different hypotheses that could explain the existence of these differentials, our results seem to suggest that the main distortions in the Mexican labor market appear to be related more to labor regulations that affect the allocation of labor between the formal and informal sectors, than to differences in intrinsic characteristics of the production processes in industry and services.
Volume (Year): 31 (2011)
Issue (Month): 3 ()
|Contact details of provider:|| |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Leonardo Gasparini & Leopoldo Tornarolli, 2007.
"Labor Informality in Latin America and the Caribbean: Patterns and Trends from Household Survey Microdata,"
CEDLAS, Working Papers
0046, CEDLAS, Universidad Nacional de La Plata.
- Gasparini Leonardo & Leonardo Tornaroli, 2009. "Labor Informality in Latin America and the Caribbean: Patterns and Trends from Household Survey Microdata," REVISTA DESARROLLO Y SOCIEDAD, UNIVERSIDAD DE LOS ANDES-CEDE, September.
- Maloney, William F, 1999. "Does Informality Imply Segmentation in Urban Labor Markets? Evidence from Sectoral Transitions in Mexico," World Bank Economic Review, World Bank Group, vol. 13(2), pages 275-302, May.
- Maloney, William, 2003.
Policy Research Working Paper Series
2965, The World Bank.
When requesting a correction, please mention this item's handle: RePEc:ebl:ecbull:eb-11-00035. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (John P. Conley)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.