Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/33195
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dc.contributor.authorFairlie, Robert W.en_US
dc.date.accessioned2006-05-22en_US
dc.date.accessioned2010-07-07T09:07:57Z-
dc.date.available2010-07-07T09:07:57Z-
dc.date.issued2006en_US
dc.identifier.urihttp://hdl.handle.net/10419/33195-
dc.description.abstractThe Blinder-Oaxaca decomposition technique is widely used to identify and quantify the separate contributions of group differences in measurable characteristics, such as education, experience, marital status, and geographical differences to racial and gender gaps in outcomes. The technique cannot be used directly, however, if the outcome is binary and the coefficients are from a logit or probit model. I describe a relatively simple method of performing a decomposition that uses estimates from a logit or probit model. Expanding on the original application of the technique in Fairlie (1999), I provide a more thorough discussion of how to apply the technique, an analysis of the sensitivity of the decomposition estimates to different parameters, and the calculation of standard errors. I also compare the estimates to Blinder-Oaxaca decomposition estimates and discuss an example of when the Blinder-Oaxaca technique may be problematic.en_US
dc.language.isoengen_US
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen_US
dc.relation.ispartofseries|aIZA Discussion Papers |x1917en_US
dc.subject.jelC6en_US
dc.subject.jelJ15en_US
dc.subject.jelJ16en_US
dc.subject.ddc330en_US
dc.subject.keyworddecompositionen_US
dc.subject.keywordlogiten_US
dc.subject.keywordprobiten_US
dc.subject.keywordBlinder-Oaxaca decompositionen_US
dc.subject.keywordraceen_US
dc.subject.keywordgenderen_US
dc.subject.stwDekompositionsverfahrenen_US
dc.subject.stwComputeren_US
dc.subject.stwRasseen_US
dc.subject.stwGeschlechten_US
dc.subject.stwUSAen_US
dc.subject.stwLogit-Modellen_US
dc.subject.stwProbit-Modellen_US
dc.titleAn extension of the Blinder-Oaxaca decomposition technique to logit and probit modelsen_US
dc.type|aWorking Paperen_US
dc.identifier.ppn506211622en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-

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