Knowledge of catalan, public/private sector choice and earnings: Evidence from a double sample selection model

Antonio Di Paolo

    Research output: Contribution to journalArticleResearchpeer-review

    8 Citations (Scopus)

    Abstract

    This paper explores the earnings return to Catalan knowledge for public and private workers in Catalonia. In doing so, we allow for a double simultaneous selection process. We consider, on the one hand, the non-random allocation of workers into one sector or another, and on the other, the potential self-selection into Catalan proficiency. In addition, when correcting the earnings equations, we control for the correlation between the two selectivity rules. Our findings suggest that the apparent higher language return for public sector workers is entirely accounted for by selection effects, whereas knowledge of Catalan has a significant positive return in the private sector, which is somewhat higher when the selection processes are taken into account. © 2011, Instituto de Estudios Fiscales.
    Original languageEnglish
    Pages (from-to)9-35
    JournalHacienda Publica Espanola
    Volume197
    Issue number2
    Publication statusPublished - 14 Oct 2011

    Keywords

    • Catalonia
    • Earnings
    • Language
    • Sector choice
    • Simultaneous selection

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