Extremal quantile regressions for selection models and the black–white wage gap


Journal Article

© 2017 Elsevier B.V. We consider the estimation of a semiparametric sample selection model without instrument or large support regressor. Identification relies on the independence between the covariates and selection, for arbitrarily large values of the outcome. We propose a simple estimator based on extremal quantile regression and establish its asymptotic normality by extending previous results on extremal quantile regressions to allow for selection. Finally, we apply our method to estimate the black–white wage gap among males from the NLSY79 and NLSY97. We find that premarket factors such as AFQT and family background play a key role in explaining the black–white wage gap.

Full Text

Duke Authors

Cited Authors

  • D'Haultfœuille, X; Maurel, A; Zhang, Y

Published Date

  • March 1, 2018

Published In

Volume / Issue

  • 203 / 1

Start / End Page

  • 129 - 142

Electronic International Standard Serial Number (EISSN)

  • 1872-6895

International Standard Serial Number (ISSN)

  • 0304-4076

Digital Object Identifier (DOI)

  • 10.1016/j.jeconom.2017.11.004

Citation Source

  • Scopus