An Extension of the Blinder-Oaxaca Decomposition to a Continuum of Comparison Groups This paper proposes an extension of the Blinder-Oaxaca decomposition from two to a continuum of comparison groups. The proposed decomposition is then estimated for the case of racial wage differences in urban Peru, exploiting a novel data set that allows the capturing of mestizaje (racial mixtures). JEL Classif...

this study examins effects of trade liberalization on the wage inequality across industries and between genders within these industries by utilizing the data of micro-level households’ income and expenditures surveys and trade statistics over 2001-2011. the analysis is carried based on the heckscher–ohlin’s theory in international trade and baker’s taste discrimination theory at firms. we use q...

The Sexual Orientation Wage Gap: The Role of Occupational Sorting, Human Capital, and Discrimination Using data from the 2000 U.S. Census, we document and explore three alternative explanations for the sexual orientation wage gap: occupational sorting, human capital differences, and discrimination. We find lesbian women earn more than their heterosexual counterparts irrespective of marital stat...

Background Visual acuity, like many other health-related problems, does not have an equal distribution in terms of socio-economic factors. We conducted this study to estimate and decompose economic inequality in presenting visual acuity using two methods and to compare their results in a population aged 40-64 years in Shahroud, Iran.   Methods: The data of 5188 participants in the first phase o...

Blinder-Oaxaca Decomposition for Tobit Models In this paper, a decomposition method for Tobit-models is derived, which allows the differences in a censored outcome variable between two groups to be decomposed into a part that is explained by differences in observed characteristics and a part attributable to differences in the estimated coefficients. The method is applied to a decomposition of t...

Religious Minorities and Provision of Public Goods: Evidence from Rural West Bengal Religious and ethnic minorities across the world face partisan treatment with regard to provision of public goods, either as outcome of discriminatory practices or due to historical antecedents, such as the caste and religious divides in India. In several districts of West Bengal in India concentration of religi...

The distinct feature of Bhutan is its special attention to peace, prosperity and happiness for its people. This research focuses on the expenditure inequality for 2007 and 2012 using various measurements including Gini Coefficients, Theil Indices and Blinder-Oaxaca decomposition. The results show that “between” rather than “within” inequality is the major factor contributing to the overall ineq...

This paper proposes an empirical likelihood inference method for the Oaxaca–Blinder decompositions. In contrast to conventional Wald statistic using delta method, our approach circumvents linearization errors and estimation of variance terms. Furthermore, shape resulting confidence set is determined flexibly by data. Simulation results illustrate usefulness proposed method. • Empirical Our esti...

The counterfactual decomposition technique popularized by Blinder (1973, Journal of Human Resources, 436–455) and Oaxaca (1973, International Economic Review, 693–709) is widely used to study mean outcome differences between groups. For example, the technique is often used to analyze wage gaps by sex or race. This article summarizes the technique and addresses several complications, such as the...