Regional wage gaps, education and informality in an emerging country: the case of Colombia

Author

Herrera Idárraga, Paula

López Bazo, Enrique

Motellón Corral, Elisabet

Other authors

Pontificia Universidad Javeriana

Universitat de Barcelona

Universitat Oberta de Catalunya (UOC)

Publication date

2019-04-04T16:56:44Z

2019-04-04T16:56:44Z

2016-07-05



Abstract

This paper uses Colombian micro-data to analyze the role of education and informality in regional wage differentials. The hypothesis is that apart from differences in the endowment of human capital, regional heterogeneity in the incidence of informality is another important source of regional wage inequality in emerging countries. This is confirmed by the evidence from Colombia, which also reveals remarkable spatial heterogeneity in the wage return to individuals' characteristics. Regional heterogeneity in returns to education is especially intense in the upper part of the wage distribution. In turn, heterogeneity in the informal pay penalty is more relevant at the bottom.

Document Type

Article
Submitted version

Language

English

Subjects and keywords

wage differentials; quantile-based decompositions; informal jobs; economic development; diferenciales salariales; descomposiciones basadas en cuantiles; trabajos informales; desarrollo económico; diferències salarials; descomposicions basades en quantils; llocs de treball informals; desenvolupament econòmic; Equal pay for equal work; Igualtat retributiva; Igualdad retributiva

Publisher

Spatial Economic Analysis

Related items

Spatial Economic Analysis, 2016, 11(4)

http://diposit.ub.edu/dspace/bitstream/2445/108490/1/669657.pdf

info:eu-repo/grantAgreement/ECO2011-30260-C03-03

info:eu-repo/grantAgreement/SSH-2010-2.2-266834

info:eu-repo/grantAgreement/FI-DGR 2012

Rights

(c) Author/s & (c) Journal

This item appears in the following Collection(s)

Articles [153]