Low Pay Persistence in European Countries

Using panel data for twelve European countries over the period 1994-2001 we estimate the extent of state dependence in low pay. Controlling for observable and unobservable heterogeneity as well as the endogeneity of initial conditions we find positive, statistically significant state dependence in every single country. The magnitude of this effect varies by country, however this variation is not systematically related to labour market institutions.

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Year of publication:	2009
Authors:	Clark, Ken ; Kanellopoulos, Nikolaos C.
Publisher:	Berlin : Deutsches Institut für Wirtschaftsforschung (DIW)
Subject:	Low pay \| low pay persistence \| state dependence \| initial conditions \| dynamic random effects probit models

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Series:	SOEPpapers on Multidisciplinary Panel Data Research ; 207
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	884619044 [GVK] hdl:10419/150754 [Handle] RePEc:diw:diwsop:diw_sp207 [RePEc]
Classification:	C23 - Models with Panel Data ; C25 - Discrete Regression and Qualitative Choice Models ; J31 - Wage Level and Structure; Wage Differentials by Skill, Training, Occupation, etc ; J69 - Mobility, Unemployment, and Vacancies. Other
Source:	EconStor

Persistent link: https://www.econbiz.de/10011600851