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A multinomial logit nondiscriminatory approach to estimating racial wage and occupational discrimination

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  • Timothy Hinks
  • Duncan Watson

Abstract

This paper combines a technique to measure nondiscriminatory wage structures with a multinomial logit model to estimate both occupational racial discrimination and within-occupation racial wage underpayment and overpayment. Using a recent South African October Household Survey it is found that racial discrimination against blacks and in favour of whites still persists in the South African labour market, implying the persistence of white employer nepotism and/or white employee discrimination.

Suggested Citation

  • Timothy Hinks & Duncan Watson, 2001. "A multinomial logit nondiscriminatory approach to estimating racial wage and occupational discrimination," Applied Economics, Taylor & Francis Journals, vol. 33(5), pages 605-612.
  • Handle: RePEc:taf:applec:v:33:y:2001:i:5:p:605-612
    DOI: 10.1080/00036840122869
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    Cited by:

    1. Tran, Tuyen & Tran, Anh & Pham, Thai & Vu, Huong, 2017. "Local governance and occupational choice among young people: First evidence from Vietnam," MPRA Paper 84436, University Library of Munich, Germany, revised Dec 2017.
    2. Timothy Hinks, 2012. "Fractionalization and well-being: Evidence from a new South African data set," New Zealand Economic Papers, Taylor & Francis Journals, vol. 46(3), pages 253-271, December.
    3. Mick Brookes & Timothy Hinks & Duncan Watson, 2001. "Comparisons in Gender Wage Differentials and Discrimination between Germany and the United Kingdom," LABOUR, CEIS, vol. 15(3), pages 393-414, September.
    4. Anastasia Klimova, 2012. "Gender differences in determinants of occupational choice in Russia," International Journal of Social Economics, Emerald Group Publishing, vol. 39(9), pages 648-670, July.
    5. Azam, Jean-Paul & Rospabe, Sandrine, 2007. "Trade unions vs. statistical discrimination: Theory and application to post-apartheid South Africa," Journal of Development Economics, Elsevier, vol. 84(1), pages 417-444, September.
    6. Minas Vlassis & Nick Drydakis, "undated". "A Union-Oligopoly Model of Endogenous Discrimination:Should it be wage discrimination taxed or discriminated employment subsidized?," Working Papers 0614, University of Crete, Department of Economics.
    7. Jafarey, S. & Montes-Rojas, G. & Mainali, R. M., 2014. "Earnings and Caste: An Evaluation of Caste Wage Differentials in the Nepalese Labour Market," Working Papers 15/13, Department of Economics, City University London.

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