Barrientos, Armando; Firinguetti, Luis - In: Applied Economics Letters 4 (1997) 11, pp. 709-710
The log-linear specification of wage equations is commonly used in the applied economics literature. Predictions of the retransformed wage are not straightforward as the standard approach (naive estimator) produces biased predictions. Duan (1983) proposes a smearing estimator which overcomes...