When the choice variable is continuous, selectivity bias can in principle be dealt with by a procedure first suggested by Garen (1984). However, work reported in this paper on the estimation of hedonic wage equations with compensation for dangerous jobs, where selectivity bias could arise...

The effect of new technology on relative demands for workers has been the subject of much research in economics. <link rid="b23">Krueger (1993)</link> and others have studied the impact of computers on earnings in the US and elsewhere. Such studies have been criticised for ignoring the possibility of bias due to...

We use data from the Kazakhstan Labour Force Survey (KLFS) for the period 2006-2011 to examine factors that determine informality amongst self-employed men and women. In addition, the paper examines the response of informality propensities to the recent global crisis. The decomposition suggests...

This paper examines rates of return to schooling in Kazakhstan using OLS and instrumental variable (IV) methodologies. We use spouse's education and smoking as instruments. We find that spouse's education is a valid instrument and that conventional OLS estimates that assume the exogenous nature...

A range of alternative empirical definitions of informal activity have been employed in the literature. Choice of definition is often dictated by data availability. Different definitions may imply very different conceptual understandings of informality. This paper investigates the degree of...

This paper uses quantile regression techniques to analyze heterogeneous patterns of return to education across the conditional wage distribution in four transition countries. We correct for sample selection bias using a procedure suggested by Buchinsky (2001), which is based on a Newey (1991,...

Extant evidence that the self-employed overestimate their returns by more than employees do is consistent with two mutually inclusive possibilities. Self-employment may generate optimism or optimists may be drawn to self-employment. This paper finds that employees who will be self-employed in...