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Do Women Earn Less In Rural Areas? An Empirical Analysis Of The Female Rural-Urban Wage Differential

Author

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  • Wang, Qiuyan
  • Findeis, Jill L.

Abstract

This study evaluates the possible reasons for the persistent rural-urban wage gap among women in the U.S. The paper uses two-step panel data estimations that can consider explanations including rural-urban differences in observed individual characteristics and work-related characteristics and at the same time control for both unobserved differences in amenities and productivities and for the potential effects of endogeneity and/or sample selection bias in hours worked. The paper finds that significant rural-urban female wage differential exist for many groups, indicating the functioning of rural and urban labor markets are different.

Suggested Citation

  • Wang, Qiuyan & Findeis, Jill L., 2004. "Do Women Earn Less In Rural Areas? An Empirical Analysis Of The Female Rural-Urban Wage Differential," 2004 Annual meeting, August 1-4, Denver, CO 19982, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea04:19982
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    File URL: http://ageconsearch.umn.edu/record/19982/files/sp04wa05.pdf
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    References listed on IDEAS

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    1. Francis Vella & Marno Verbeek, 1998. "Whose wages do unions raise? A dynamic model of unionism and wage rate determination for young men," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 13(2), pages 163-183.
    2. Kim, Bonggeun, 2002. "The role of the urban/non-urban cost-of-living difference in measured intergenerational earnings mobility," Economics Letters, Elsevier, vol. 77(1), pages 9-14, September.
    3. Esperanza Vera-Toscano & Euan Phimister & Alfons Weersink, 2004. "Panel Estimates of the Canadian Rural/Urban Women's Wage Gap," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(4), pages 1138-1151.
    4. Lars Osberg & Daniel V. Gordon & Zhengxi Lin, 1994. "Interregional Migration and Interindustry Labour Mobility in Canada: A Simultaneous Approach," Canadian Journal of Economics, Canadian Economics Association, vol. 27(1), pages 58-80, February.
    5. Whitney K. Newey & James L. Powell & Francis Vella, 1999. "Nonparametric Estimation of Triangular Simultaneous Equations Models," Econometrica, Econometric Society, vol. 67(3), pages 565-604, May.
    6. Jill L. Findeis & Leif Jensen, 1998. "Employment Opportunities in Rural Areas: Implications for Poverty in a Changing Policy Environment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(5), pages 1000-1007.
    7. Nakamura, Alice & Nakamura, Masao, 1985. "Dynamic models of the labor force behavior of married women which can be estimated using limited amounts of past information," Journal of Econometrics, Elsevier, vol. 27(3), pages 273-298, March.
    8. Vella, Francis & Verbeek, Marno, 1999. "Two-step estimation of panel data models with censored endogenous variables and selection bias," Journal of Econometrics, Elsevier, vol. 90(2), pages 239-263, June.
    9. Ron Shaffer, 1998. "Rural Poverty: A Response," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(5), pages 1015-1016.
    10. Nijman, Theo & Verbeek, Marno, 1992. "Nonresponse in Panel Data: The Impact on Estimates of a Life Cycle Consumption Function," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 7(3), pages 243-257, July-Sept.
    11. Davis, Elizabeth E. & Connolly, Laura S. & Weber, Bruce A., 1999. "Employment Outcomes For Low-Income Adults In Rural And Urban Labor Markets," 1999 Annual meeting, August 8-11, Nashville, TN 21624, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    12. Glaeser, Edward L & Mare, David C, 2001. "Cities and Skills," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 316-342, April.
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    Keywords

    Labor and Human Capital;

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