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  • Is it possible that the explained and unexplained contributions in the Oaxaca Blinder result exceed 100%?

    Hello,

    First of all, I would like to apologize for interrupting your time. I would like to ask about the results in Oaxaca-Blinder Decomposition. Is it possible that the contribution of the explained or unexplained in the decomposition result exceeds 100%? Or is there an error in my measurement? Thank you in advance.

    Code:
    Blinder-Oaxaca decomposition                    Number of obs     =     11,345
                                                      Model           =     linear
    Group 1: dis = 0                                  N of obs 1      =       7874
    Group 2: dis = 1                                  N of obs 2      =       3471
    
    --------------------------------------------------------------------------------
          lwage_m1 |      Coef.   Std. Err.      z    P>|z|     [95% Conf. Interval]
    ---------------+----------------------------------------------------------------
    overall        |
           group_1 |   14.03486   .0112721  1245.10   0.000     14.01277    14.05696
           group_2 |   13.90714    .018822   738.88   0.000     13.87025    13.94403
        difference |   .1277253   .0219392     5.82   0.000     .0847253    .1707253
    ---------------+----------------------------------------------------------------
    adjusted       |
           group_1 |   14.07324   .0262705   535.70   0.000     14.02175    14.12473
           group_2 |   13.97628   .0288609   484.26   0.000     13.91972    14.03285
        difference |   .0969558   .0390268     2.48   0.013     .0204646    .1734469
        endowments |   .1626878   .0557093     2.92   0.003     .0534996    .2718761
      coefficients |   .0102528   .0389538     0.26   0.792    -.0660953    .0866008
       interaction |  -.0759848   .0541207    -1.40   0.160    -.1820595    .0300898
    ---------------+----------------------------------------------------------------
    endowments     |
             yeduc |  -.0026887   .0066706    -0.40   0.687    -.0157629    .0103855
        experience |  -.0152783   .0074728    -2.04   0.041    -.0299247   -.0006319
     experience_sq |   .0225195   .0066381     3.39   0.001     .0095092    .0355298
            female |   .0765545   .0077037     9.94   0.000     .0614555    .0916535
           married |   .0015562   .0010433     1.49   0.136    -.0004886    .0036009
       agriculture |  -.0043584   .0032765    -1.33   0.183    -.0107802    .0020634
            mining |   .0006895   .0008784     0.78   0.432    -.0010321    .0024111
        manufactur |  -.0001048   .0006501    -0.16   0.872    -.0013791    .0011694
           utility |          0  (omitted)
      construction |   .0039411    .003153     1.25   0.211    -.0022387     .010121
     wholesaledist |     .00048   .0012344     0.39   0.697    -.0019394    .0028993
         transport |   4.34e-06   .0000763     0.06   0.955    -.0001451    .0001538
    finance_estate |   .0006512   .0018811     0.35   0.729    -.0030357    .0043381
            social |   .0124948   .0072468     1.72   0.085    -.0017086    .0266983
      other_sector |   .0020782   .0014877     1.40   0.162    -.0008377    .0049941
         insurance |  -.0085975   .0075203    -1.14   0.253    -.0233369     .006142
           kontrak |  -.0012646   .0025043    -0.50   0.614    -.0061729    .0036437
             union |   -.002705   .0013089    -2.07   0.039    -.0052704   -.0001397
             urban |  -.0001258   .0008058    -0.16   0.876    -.0017052    .0014536
             fisik |   .0040745   .0023799     1.71   0.087    -.0005899    .0087389
       penglihatan |  -.0261707   .0128828    -2.03   0.042    -.0514205    -.000921
       pendengaran |   .0018498   .0025306     0.73   0.465    -.0031101    .0068096
            bicara |   .0012583    .000781     1.61   0.107    -.0002724    .0027891
          kognitif |   .0030005   .0017676     1.70   0.090    -.0004639    .0064649
      a_limitation |   .0928292   .0420561     2.21   0.027     .0104008    .1752577
    ---------------+----------------------------------------------------------------
    coefficients   |
             yeduc |  -.0895701   .0592493    -1.51   0.131    -.2056966    .0265564
        experience |   .0930824   .0830722     1.12   0.263    -.0697361    .2559009
     experience_sq |  -.0474709   .0482992    -0.98   0.326    -.1421357    .0471939
            female |  -.0072949   .0207884    -0.35   0.726    -.0480393    .0334495
           married |  -.0260687   .0323273    -0.81   0.420    -.0894289    .0372916
       agriculture |  -.0622721   .0807236    -0.77   0.440    -.2204875    .0959434
            mining |  -.0116351   .0133536    -0.87   0.384    -.0378076    .0145374
        manufactur |   -.107783   .1535273    -0.70   0.483     -.408691    .1931251
           utility |  -.0044609   .0059597    -0.75   0.454    -.0161418      .00722
      construction |  -.0514885   .0561333    -0.92   0.359    -.1615077    .0585307
     wholesaledist |  -.0788351   .1252681    -0.63   0.529    -.3243561     .166686
         transport |  -.0163271   .0218389    -0.75   0.455    -.0591305    .0264763
    finance_estate |  -.0394493   .0498781    -0.79   0.429    -.1372086    .0583099
            social |  -.2047882   .2780985    -0.74   0.461    -.7498512    .3402749
      other_sector |  -.0070673   .0151616    -0.47   0.641    -.0367835    .0226489
         insurance |  -.0287459   .0158076    -1.82   0.069    -.0597283    .0022364
           kontrak |  -.0126251   .0101778    -1.24   0.215    -.0325732     .007323
             union |  -.0028125   .0074514    -0.38   0.706     -.017417    .0117921
             urban |   .0594237   .0280557     2.12   0.034     .0044357    .1144118
             fisik |   .0040745   .0023799     1.71   0.087    -.0005899    .0087389
       penglihatan |  -.0261707   .0128828    -2.03   0.042    -.0514205    -.000921
       pendengaran |   .0018498   .0025306     0.73   0.465    -.0031101    .0068096
            bicara |   .0012583    .000781     1.61   0.107    -.0002724    .0027891
          kognitif |   .0030005   .0017676     1.70   0.090    -.0004639    .0064649
      a_limitation |   .0928292   .0420561     2.21   0.027     .0104008    .1752577
             _cons |   .5795996   .8043501     0.72   0.471    -.9968976    2.156097
    ---------------+----------------------------------------------------------------
    interaction    |
             yeduc |   .0003133   .0008041     0.39   0.697    -.0012628    .0018893
        experience |  -.0029273   .0029504    -0.99   0.321      -.00871    .0028553
     experience_sq |   .0050797   .0052966     0.96   0.338    -.0053014    .0154609
            female |   .0029742   .0084767     0.35   0.726    -.0136398    .0195883
           married |  -.0005864   .0007945    -0.74   0.460    -.0021437    .0009708
       agriculture |  -.0103545     .01396    -0.74   0.458    -.0377156    .0170066
            mining |  -.0017722   .0027574    -0.64   0.520    -.0071765    .0036322
        manufactur |  -.0007767   .0046405    -0.17   0.867     -.009872    .0083186
           utility |  -.0005308   .0012753    -0.42   0.677    -.0030305    .0019688
      construction |  -.0123995   .0140623    -0.88   0.378    -.0399611    .0151621
     wholesaledist |   .0016015   .0045039     0.36   0.722    -.0072261    .0104291
         transport |  -.0001348   .0020046    -0.07   0.946    -.0040637    .0037942
    finance_estate |  -.0068434   .0092128    -0.74   0.458    -.0249003    .0112134
            social |   .0235676   .0324954     0.73   0.468    -.0401223    .0872574
      other_sector |   .0023703   .0051719     0.46   0.647    -.0077664    .0125069
         insurance |   .0008275    .000854     0.97   0.333    -.0008463    .0025014
           kontrak |   .0002341   .0004997     0.47   0.639    -.0007453    .0012136
             union |   .0003401   .0009109     0.37   0.709    -.0014453    .0021254
             urban |  -.0001259    .000807    -0.16   0.876    -.0017076    .0014558
             fisik |  -.0040745   .0023799    -1.71   0.087    -.0087389    .0005899
       penglihatan |   .0261707   .0128828     2.03   0.042      .000921    .0514205
       pendengaran |  -.0018498   .0025306    -0.73   0.465    -.0068096    .0031101
            bicara |  -.0012583    .000781    -1.61   0.107    -.0027891    .0002724
          kognitif |  -.0030005   .0017676    -1.70   0.090    -.0064649    .0004639
      a_limitation |  -.0928292   .0420561    -2.21   0.027    -.1752577   -.0104008
    --------------------------------------------------------------------------------
    (adjusted by imr)
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