Description/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.
Document Type
Working Paper
Date
9-2011
Keywords
Wage Curve, Fixed Effects, Instrumental Variables, Two-Stage Least Squares
Series
Working Papers Series
Disciplines
Economics
Recommended Citation
Baltagi, Badi H.; Baskaya, Yusuf Soner; and Hulagu, Timur, "The Turkish Wage Curve; Evidence from the Household Labor Force Survey" (2011). Center for Policy Research. 158.
https://surface.syr.edu/cpr/158
Source
local input
Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.
Additional Information
Working paper no. 134