A Multi-step Process Approach for Estimating Public Sector Wages: the Spanish Experience

• PATRICIA MORENO-MENCÍA ^[1] ; JUAN M. RODRÍGUEZ-POO ^[2] ; DAVID CANTARERO-PRIETO ^[2]
  1. [1] Universidad Internacional de La Rioja

     Universidad Internacional de La Rioja

     Logroño, España

     
  2. [2] Universidad de Cantabria

     Universidad de Cantabria

     Santander, España

     
• Localización: Hacienda Pública Española / Review of Public Economics, ISSN 0210-1173, Nº 237, 2021, págs. 33-56
• Idioma: inglés
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• Resumen

  • We propose a semiparametric model including problems of sample selection and endogeneity. Concretely, we focus on studying the effect of tenure in public sector wages. Here we face two problems:

    Public wages are only observed for public employees and the tenure is endogenous. The chosen method allows the introduction of a nonparametric control function and relaxing usual strong assumptions.

    This approach is applied to a wage model for the Spanish Public Sector, using the wage structure survey of 2016.