Public-Private Sector Wage Differentials and Returns to Education in Djibouti
Creator
Casero, Paloma
Seshan, Ganesh
Abstract
Do public sector workers earn a wage premium in Djibouti and are the returns to education different across the sectors? The authors estimate private and public sector wage earnings using 1996 household survey data, while controlling for selectivity using Heckman's two stage approach. They find that Djiboutian public sector employees earn a wage premium, independent of their personal attributes and human capital endowments, and are more likely to be males and have parents in the public sector. Workers in the public sector earn higher private rates of return to education than do private sector workers with post-secondary schooling. These results raise concerns about current government hiring and wage-setting practices that generate distortions in the labor market and are not efficiently allocating labor and public resources.
Permanent Link
http://hdl.handle.net/10822/713222External Link
DOI: https://doi.org/10.1596/1813-9450-3923Date Published
2006Rights
This item is currently unavailable in DigitalGeorgetown due to copyright restrictions by the publisher.
Subject
Type
Is Part Of
Policy Research Working Papers. The World Bank.
Publisher
World Bank
Collections
Metadata
Show full item recordRelated items
Showing items related by title, author, creator and subject.
-
Public-Private Sector Employment Decisions and Wage Differentials in Peninsular Malaysia
Seshan, Ganesh (M.E. Sharpe, 2013)This paper examines whether there is a wage premium for public-sector workers in Peninsular Malaysia and whether there is wage discrimination based on gender. Public- and private-sector wages are estimated using individual-level ...