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Author Antman, Francisca.

Title Earnings mobility and measurement error [electronic resource] : a pseudo-panel approach / Francisca Antman, David J. McKenzie, Research working paper Collection Title:Policy.

Published [Washington, D.C. : World Bank, 2005]


Location Call No. Status
Series Policy research working paper ; 3745
Policy research working papers ; 3745.
World Bank e-Library.
Notes Title from PDF file as viewed on 10/7/2005.
Bibliography Includes bibliographical references.
Summary "The degree of mobility in incomes is often seen as an important measure of the equality of opportunity in a society and of the flexibility and freedom of its labor market. But estimation of mobility using panel data is biased by the presence of measurement error and non-random attrition from the panel. This paper shows that dynamic pseudo-panel methods can be used to consistently estimate measures of absolute and conditional mobility in the presence of non-classical measurement errors. These methods are applied to data on earnings from a Mexican quarterly rotating panel. Absolute mobility in earnings is found to be very low in Mexico, suggesting that the high level of inequality found in the cross-section will persist over time. However, the paper finds conditional mobility to be high, so that households are able to recover quickly from earnings shocks. These findings suggest a role for policies which address underlying inequalities in earnings opportunities. "--World Bank web site.
Other formats Also available in print.
Other author McKenzie, David J.
World Bank.
Subject Equality -- Mexico.
Income distribution -- Mexico.
Labor market -- Mexico.
Social mobility -- Mexico.
Wages -- Mexico.