Working Paper: CEPR ID: DP5309
Authors: Thomas Bauer; Mathias Sinning
Abstract: 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 the gender wage gap using German data
Keywords: Blinder-Oaxaca decomposition; Tobit model; wage gap
JEL Codes: C24; J31
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| observable characteristics (C90) | wage outcomes (J31) |
| differences in estimated coefficients (C51) | wage outcomes (J31) |
| Tobit decomposition method (C69) | results (Y10) |
| Blinder-Oaxaca decomposition (J79) | results (Y10) |