Jump to content

Blinder–Oaxaca decomposition

From Wikipedia, the free encyclopedia

This is an old revision of this page, as edited by Marcocapelle (talk | contribs) at 12:19, 22 September 2016 (removed Category:Econometrics). The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

Oaxaca decomposition is a statistical method that explains the difference in the means of a dependent variable between two groups by decomposing the gap into that part that is due to differences in the mean values of the independent variable within the groups, on the one hand, and group differences in the effects of the independent variable, on the other hand. The method was introduced by Ronald Oaxaca in his doctoral thesis at Princeton University and eventually published in 1973.[1] Oaxaca's original research question was the wage differential between two different groups of workers, but his method has since been applied to numerous other topics.[2]

See also

References

  1. ^ Oaxaca, R. (1973). "Male-Female Wage Differentials in Urban Labor Markets". International Economic Review. 14 (3): 693–709. JSTOR 2525981.
  2. ^ O'Donnell, Owen A.; et al. (2008). "Explaining Differences between Groups: Oaxaca Decomposition". Analyzing Health Equity Using Household Survey Data: A Guide to Techniques and Their Implementation. World Bank Publications. pp. 147–158. {{cite book}}: External link in |chapterurl= (help); Unknown parameter |chapterurl= ignored (|chapter-url= suggested) (help)

Further reading

  • Borjas, Goerge J. (2000). "Measuring Discrimination". Labor Economics (Second ed.). Boston: Irwin McGraw-Hill. pp. 362–366. ISBN 0-07-231198-3. {{cite book}}: External link in |chapterurl= (help); Unknown parameter |chapterurl= ignored (|chapter-url= suggested) (help)
  • Cahuc, Pierre; Carcillo, Stéphane; Zylberberg, André (2014). "Decomposition Methods: The Case of the Gender Wage Gap". Labor Economics. Cambridge: MIT Press. pp. 504–514. ISBN 978-0-262-02770-0. {{cite book}}: External link in |chapterurl= (help); Unknown parameter |chapterurl= ignored (|chapter-url= suggested) (help)
  • Fortin, Nicole; Lemieux, Thomas; Firpo, Sergio (2011). "Decomposition Methods in Economics". Handbook of Labor Economics. Elsevier. pp. 1–102. doi:10.1016/S0169-7218(11)00407-2. ISBN 978-0-444-53450-7. {{cite book}}: External link in |chapterurl= (help); Unknown parameter |chapterurl= ignored (|chapter-url= suggested) (help)