Econometrica Vol. 59 No. 1 1991
Segmented or Competitive Labor Markets
Abstract
A normal Roy model with four sectors is developed. It allows to derive tests of several assumptions on the working of the labor market: strongly or weakly competitive or segmented. It shows that more important a feature of labor markets than segmentation is the presence of comparative advantages for individuals between the various economic sectors. The model is applied to data on women's labor-force participation in the main towns of Colombia in 1980. It uses multivariate probit and Tobit techniques.
- DOI
- 10.2307/2938245
- Volume
- 59
- Issue
- 1
- Pages
- 165
- Sources
- bibtex:phds-export.bib crossref openalex