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EVIDENCE ON GENDER WAGE DISCRIMINATION IN PORTUGAL: PARAMETRIC AND SEMI‐PARAMETRIC APPROACHES
Author(s) -
Galego Aurora,
Pereira João
Publication year - 2010
Publication title -
review of income and wealth
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.024
H-Index - 57
eISSN - 1475-4991
pISSN - 0034-6586
DOI - 10.1111/j.1475-4991.2010.00413.x
Subject(s) - selection bias , estimator , wage , economics , econometrics , parametric statistics , selection (genetic algorithm) , sample (material) , panel data , estimation , semiparametric model , labour economics , nonparametric statistics , statistics , mathematics , computer science , chemistry , management , chromatography , artificial intelligence
In this paper we consider several alternative approaches to analyze gender wage discrimination. Besides the traditional OLS estimator, we use two other approaches to control for sample selection bias problems: the parametric procedure suggested by Vella and Wooldridge, and the Li and Wooldridge semi‐parametric estimator. We study the case of Portugal, employing data from the European Community Household Panel. The results reveal that the discrimination estimates are sensitive to the different econometric approaches. In fact, when sample selection bias is taken into account, the discrimination values are reduced and are typically not significant.