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Earnings Differentials and Market Structure


  • Joyce R. Shackett
  • John M. Trapani


Theoretical models suggest that market structure may influence the magnitude of earnings differentials and/or discrimination observed in the marketplace. Empirical results, with regard to wage differentials and labor force participation patterns, have been mixed. Most wage differential studies have focused on males due to difficulty in obtaining reliable data for women and to the sample selection problem of women's labor force participation decisions. This paper characterizes market structure by four categories: regulated, nonprofit, government, and nonregulated industries. Within these structural categories, earnings differentials are examined for men and women, adjusting for race, occupational stratification, and sample selection bias.

Suggested Citation

  • Joyce R. Shackett & John M. Trapani, 1987. "Earnings Differentials and Market Structure," Journal of Human Resources, University of Wisconsin Press, vol. 22(4), pages 518-531.
  • Handle: RePEc:uwp:jhriss:v:22:y:1987:i:4:p:518-531

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    References listed on IDEAS

    1. Smith, J.P. & Thomas, D., 1993. "On the Road: Marriage and Mortality in Malaysia," Papers 93-11, RAND - Labor and Population Program.
    2. Sean Becketti & William Gould & Lee Lillard & Finis Welch, 1985. "The Panel Study of Income Dynamics After Fourteen Years: An Evaluation," UCLA Economics Working Papers 361, UCLA Department of Economics.
    3. Hausman, Jerry A & Wise, David A, 1979. "Attrition Bias in Experimental and Panel Data: The Gary Income Maintenance Experiment," Econometrica, Econometric Society, vol. 47(2), pages 455-473, March.
    4. James P. Smith & Duncan Thomas, 1998. "On the Road: Marriage and Mobility in Malaysia," Journal of Human Resources, University of Wisconsin Press, vol. 33(4), pages 805-832.
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    1. repec:mse:cesdoc:09059r is not listed on IDEAS
    2. Saarela, Jan & Finnas, Fjalar, 2006. "Can the low unemployment rate of Swedish speakers in Finland be attributed to structural factors?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(3), pages 498-513, June.
    3. Clémence Berson, 2016. "Private Versus Public Sector Wage Gap: Does Origin Matter?," Metroeconomica, Wiley Blackwell, vol. 67(4), pages 717-741, November.
    4. Leete, Laura, 2001. "Whither the Nonprofit Wage Differential? Estimates from the 1990 Census," Journal of Labor Economics, University of Chicago Press, vol. 19(1), pages 136-170, January.
    5. Leete, Laura, 2000. "Wage equity and employee motivation in nonprofit and for-profit organizations," Journal of Economic Behavior & Organization, Elsevier, vol. 43(4), pages 423-446, December.
    6. Zweimuller, J & Winter-Ebmer, R, 1994. "Gender Wage Differentials in Private and Public Sector Jobs," Journal of Population Economics, Springer;European Society for Population Economics, vol. 7(3), pages 271-285, July.
    7. Astrid Haider & Ulrike Schneider, 2010. "The Influence Of Volunteers, Donations And Public Subsidies On The Wage Level Of Nonprofit Workers: Evidence From Austrian Matched Data," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 81(1), pages 1-20, March.
    8. Christopher J. Ruhm & Carey Borkoski, 2003. "Compensation in the Nonprofit Sector," Journal of Human Resources, University of Wisconsin Press, vol. 38(4).

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