Differences in Positions along a Hierarchy: Counterfactuals Based on an Assignment Model
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 outcomes across groups and we show how it can motivate decomposition and counterfactual exercises. It constitutes an alternative to more descriptive methods such as Oaxaca decompositions and quantile counterfactual approaches. In an application, we study gender disparities in the public and private sectors with a French exhaustive administrative dataset. Whereas females are believed to be treated more fairly in the public sector, we find that the gender gap in propensity to get job positions along the wage distribution is rather similar in the two sectors. The gender wage gap in the public sector is 13% and it increases by only 0.7 percentage points when workers are assigned to job positions according to the rules of the private sector. Nevertheless, the gender gap at the last decile in the public sector increases by as much as 3.6 percentage points when using the assignment rules of the private sector.
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- Fack, Gabrielle & Grenet, Julien & He, Yinghua, 2015.
"Beyond Truth-Telling: Preference Estimation with Centralized School Choice,"
CEPR Discussion Papers
10907, C.E.P.R. Discussion Papers.
- Gabrielle Fack & Julien Grenet & Yinghua He, 2015. "Beyond Truth-Telling: Preference Estimation with Centralized School Choice," PSE Working Papers halshs-01215998, HAL.
- Fack, Gabrielle & Grenet, Julien & He, Yinghua, 2015. "Beyond Truth-Telling: Preference Estimation with Centralized School Choice," TSE Working Papers 15-607, Toulouse School of Economics (TSE).
- Nicole M. Fortin, 2008. "The Gender Wage Gap among Young Adults in the United States: The Importance of Money versus People," Journal of Human Resources, University of Wisconsin Press, vol. 43(4).
- Dagsvik, John K, 1994. "Discrete and Continuous Choice, Max-Stable Processes, and Independence from Irrelevant Attributes," Econometrica, Econometric Society, vol. 62(5), pages 1179-1205, September.
- Beggs, S. & Cardell, S. & Hausman, J., 1981. "Assessing the potential demand for electric cars," Journal of Econometrics, Elsevier, vol. 17(1), pages 1-19, September. Full references (including those not matched with items on IDEAS)
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