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Match Bias in Wage Gap Estimates Due to Earnings Imputation

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TLDR
In this article, the authors derived an expression for "match bias" in which attenuation equals the sum of match error rates, in practice, attenuation can be approximated by the proportion with imputed earnings.
Abstract
About 30% of workers in the CPS have earnings imputed. Wage gap estimates are biased toward zero when the attribute being studied (e.g., union status) is not a criterion used to match donors to nonrespondents. An expression for "match bias" is derived in which attenuation equals the sum of match error rates. In practice, attenuation can be approximated by the proportion with imputed earnings. Union wage gap estimates with match bias removed are presented for 1973-2001. Estimates in recent years are biased downward 5 percentage points. Bias in gap estimates accompanying other non-match criteria (public sector, industry, etc.) is examined.

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More Power to the Pill: The Impact of Contraceptive Freedom on Women's Life Cycle Labor Supply

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References
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C. D. Kershaw, +1 more
- 01 Mar 1989 - 
TL;DR: This work focuses on the development of Imputation Models for Social Security Benefit Reconciliation in the context of a Finite Population and examines the role of Bayesian and Randomization--Based Inferences in these models.
Journal ArticleDOI

Matching As An Econometric Evaluation Estimator

TL;DR: In this article, a rigorous distribution theory for kernel-based matching is presented, and the method of matching is extended to more general conditions than the ones assumed in the statistical literature on the topic.
Book ChapterDOI

The Economics and Econometrics of Active Labor Market Programs

TL;DR: In this paper, the authors examine the impacts of active labor market policies, such as job training, job search assistance, and job subsidies, and the methods used to evaluate their effectiveness.
Journal ArticleDOI

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