D’Haultfœuille, Xavier; Maurel, Arnaud - In: Journal of Econometrics 174 (2013) 2, pp. 95-106
This paper considers the identification and estimation of an extension of Roy’s model (1951) of sectoral choice, which includes a non-pecuniary component in the selection equation and allows for uncertainty on potential earnings. We focus on the identification of the non-pecuniary component,...