A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina

The ‘paradox of progress’ is an empirical regularity that associates more education with larger income inequality. Two driving and competing factors behind this phenomenon are the convexity of the ‘Mincer equation’ (that links wages and education) and the heterogeneity in its returns, as captured by...

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Autores principales: Alejo, Javier, Gasparini, Leonardo Carlos, Montes Rojas, Gabriel, Sosa Escudero, Walter
Formato: Articulo Documento de trabajo
Lenguaje:Inglés
Publicado: 2022
Materias:
Acceso en línea:http://sedici.unlp.edu.ar/handle/10915/130067
https://www.cedlas.econo.unlp.edu.ar/wp/no-293/
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id I19-R120-10915-130067
record_format dspace
institution Universidad Nacional de La Plata
institution_str I-19
repository_str R-120
collection SEDICI (UNLP)
language Inglés
topic Ciencias Económicas
Paradox of progress
Quantile regression
Inequality
Returns to education
Argentina
spellingShingle Ciencias Económicas
Paradox of progress
Quantile regression
Inequality
Returns to education
Argentina
Alejo, Javier
Gasparini, Leonardo Carlos
Montes Rojas, Gabriel
Sosa Escudero, Walter
A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
topic_facet Ciencias Económicas
Paradox of progress
Quantile regression
Inequality
Returns to education
Argentina
description The ‘paradox of progress’ is an empirical regularity that associates more education with larger income inequality. Two driving and competing factors behind this phenomenon are the convexity of the ‘Mincer equation’ (that links wages and education) and the heterogeneity in its returns, as captured by quantile regressions. We propose a joint least-squares and quantile regression statistical framework to derive a decomposition in order to evaluate the relative contribution of each explanation. The estimators are based on the ‘functional derivative’ approach. We apply the proposed decomposition strategy to the case of Argentina 1992 to 2015.
format Articulo
Documento de trabajo
author Alejo, Javier
Gasparini, Leonardo Carlos
Montes Rojas, Gabriel
Sosa Escudero, Walter
author_facet Alejo, Javier
Gasparini, Leonardo Carlos
Montes Rojas, Gabriel
Sosa Escudero, Walter
author_sort Alejo, Javier
title A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
title_short A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
title_full A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
title_fullStr A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
title_full_unstemmed A decomposition method to evaluate the ‘paradox of progress’ with evidence for Argentina
title_sort decomposition method to evaluate the ‘paradox of progress’ with evidence for argentina
publishDate 2022
url http://sedici.unlp.edu.ar/handle/10915/130067
https://www.cedlas.econo.unlp.edu.ar/wp/no-293/
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