Abstract

http://ssrn.com/abstract=1812478
 


 



The Turkish Wage Curve: Evidence from the Household Labor Force Survey


Badi H. Baltagi


Syracuse University - Maxwell School of Citizenship and Public Affairs; Institute for the Study of Labor (IZA)

Yusuf Soner Baskaya


affiliation not provided to SSRN

Timur Hülagü


Central Bank of Turkey


IZA Discussion Paper No. 5633

Abstract:     
This paper examines the Turkish wage curve using individual data from the Household Labor Force Survey (HLFS) including 26 NUTS-2 regions over the period 2005-2008. When the local unemployment rate is treated as predetermined, there is evidence in favor of the wage curve only for younger and female workers. However, if the lagged unemployment rate is used as an instrument for current unemployment rate, we find an unemployment elasticity of -0.099. We also find a higher elasticity for younger, less educated, low experienced workers than for older, more educated and more experienced workers. Another important finding is that the wages of females in Turkey are significantly more responsive to local unemployment rates than their male counterparts.

Number of Pages in PDF File: 10

Keywords: wage curve, fixed effects, instrumental variables, two-stage least squares

JEL Classification: C26, J30, J60

working papers series


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Date posted: April 18, 2011  

Suggested Citation

Baltagi, Badi H. and Soner Baskaya, Yusuf and Hülagü, Timur, The Turkish Wage Curve: Evidence from the Household Labor Force Survey. IZA Discussion Paper No. 5633. Available at SSRN: http://ssrn.com/abstract=1812478

Contact Information

Badi H. Baltagi (Contact Author)
Syracuse University - Maxwell School of Citizenship and Public Affairs ( email )
400 Eggers Hall
Syracuse, NY 13244
United States
Institute for the Study of Labor (IZA)
Schaumburg-Lippe-Str. 7 / 9
Bonn, D-53072
Germany
Yusuf Soner Baskaya
affiliation not provided to SSRN
Timur Hulagu
Central Bank of Turkey ( email )
Ankara
Turkey
Feedback to SSRN


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