Measuring wage inequality under right censoring

Nicolau, João; Raposo, Pedro; Rodrigues, Paulo M. M

http://hdl.handle.net/10400.5/27492

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Autores

Nicolau, João

Raposo, Pedro

Rodrigues, Paulo M. M

Resumo(s)

A conditional tail index estimator is introduced which explicitly allows for right‐tail censoring (top‐coding). We show that the factor values used to adjust top‐coded wages have changed over time and depend on individuals' characteristics, occupations and industries, and propose suitable values. Specifically, contrasting the results of our approach with those of a conservative fixed adjustment factor of 1.5 (used in the literature), suggests that wage inequality in 2017 measured with the Gini coefficient is larger than that suggested by the fixed adjustment factor.

Palavras-chave

Current Population Survey Occupations Pareto Tail Index Top‐coding Wage Inequality Weekly Wage Distribution

URI

http://hdl.handle.net/10400.5/27492

Citação

Nicolau, João, Pedro Raposo and Paulo M. M. Rodrigues .(2022) . “Measuring wage inequality under right censoring”. Economic Inquiry, pp. 377-401. (Search PDF in 2023).

Editora

John Wiley and Sons

Coleções

CEMAPRE - Artigos em Revistas Internacionais / Articles in International Journals

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