An Extension of the Blinder-Oaxaca Decomposition to a Continuum of Comparison Groups
10 Pages Posted: 25 Apr 2011
Date Written: July 2007
This paper proposes an extension of the Blinder-Oaxaca decomposition from two to a continuum of comparison groups. The proposed decomposition is then estimated for the case of racial wage differences in urban Peru, exploiting a novel data set that allows the capturing of mestizaje (racial mixtures).
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