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  • Estimating Union Wage Differential Using Quasi-maximum Likelihood (Poisson; Gamma ; NLS) and OLS

    Hello !
    it is my first time to post. Please, excuse my poor English writing.

    Please, how to evaluate the wage differential between unionized firms (the presence of a union where the individual works) and non-unionized firms (the absence of a union where the individual works) with separate estimation of wage determination, using Quasi-maximum likelihood estimations (poisson; gamma; NLS) and OLS, for an individual with average characteristics for the entire sample; and get the results with *(**){***} significant coefficients at the 10% (5%){1%} level.

    The formula of my union wage differential based on a separate estimation is : d = (Bu - Bn)X where X is the average characteristics for the entire sample.
    My variable of interest is union presence (0 for unionized firms; and 1 for non-unionized firms). Below are means and standard errors for the variables I use (taking into account the command svy for complex survey data).
    Education (%) Higher
    Not in school
    Primary
    Secondary
    22.94
    4.61
    22.92
    49.52
    0.421
    0.21
    0.420
    0.50
    36.42
    1.83
    13.49
    48.26
    0.481
    0.134
    0.342
    0.50
    17.15
    5.81
    26.98
    50.07
    0.377
    0.234
    0.444
    0.50
    Job tenure 5.46 6.626 7.340 7.837 4.657 5.851
    Training (%) No
    Yes
    75.49
    24.51
    0.430
    0.430
    63.55
    36.45
    0.482
    0.482
    80.62
    19.38
    0.395
    0.395
    Age (%) 15 – 34 years (youth)
    35 – 54 years (adult)
    55 – 64 years (senior)
    57.77
    38.67
    3.57
    0.494
    0.487
    0.185
    46.81
    47.69
    5.50
    0.499
    0.500
    0.228
    62.47
    34.79
    2.74
    0.484
    0.476
    0.163
    Marital status (%) Single
    Married
    Widow/separated
    Common-low marriage
    41.67
    42.67
    3.81
    11.84
    0.493
    0.495
    0.192
    0.323
    28.85
    54.04
    3.68
    13.43
    0.453
    0.499
    0.188
    0.341
    47.18
    37.79
    3.87
    11.16
    0.499
    0.485
    0.193
    0.315
    Gender (%) Female
    Male
    26.37
    73.63
    0.440
    0.440
    25.61
    74.39
    0.437
    0.437
    26.70
    73.30
    0.442
    0.442
    Type of work (%) Permanent
    Occasional
    92.79
    7.21
    0.259
    0.259
    97.91
    2.09
    0.143
    0.143
    90.58
    9.42
    0.292
    0.292
    Institutional sector (%) Informal
    Public
    Formal private
    55.56
    28.61
    15.83
    0.497
    0.452
    0.365
    31.36
    42.12
    26.52
    0.456
    0.494
    0.442
    65.96
    22.80
    11.24
    0.474
    0.420
    0.316
    Industry sector (%) Services
    Primary
    Manufacturing
    Trade
    67.14
    4.96
    18.90
    8.99
    0.470
    0.217
    0.392
    0.286
    70.61
    2.90
    21.15
    5.35
    0.458
    0.168
    0.409
    0.225
    65.65
    5.85
    17.94
    10.56
    0.475
    0.235
    0.384
    0.307
    Location (%) Rural
    Urban
    30.71
    69.29
    0.461
    0.461
    28.45
    71.55
    0.451
    0.451
    31.68
    68.32
    0.465
    0.465
    Union presence (%) Non-unionized firm
    Unionized firm
    69.94
    30.06
    0.459
    0.459
    Occupation (%) Skilled worker
    Not skilled worker
    Semi-skilled worker
    Middle manager
    Senior executive
    23.95
    23.85
    27.67
    14.98
    9.56
    0.427
    0.426
    0.447
    0.357
    0.294
    26.78
    12.23
    21.49
    21.80
    17.71
    0.443
    0.328
    0.411
    0.413
    0.382
    22.73
    28.84
    30.33
    12.05
    6.05
    0.419
    0.453
    0.460
    0.326
    0.238
    N 3658 1093 2565
    Thank you !
    Last edited by Junior Boumsong; 21 Apr 2022, 23:26. Reason: Please, for the Pooled (N=3658), the mean and std .of Wages (log_wages) are 90.37 and 96.951 (10.95 and 1.024) ; for Unionized firms (N1=1093), the mean and std. of Wages (log_wages) are 130.40 and
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