Abstract
In this paper we apply the nonparametric approach of Bierens and Hartog (1988) to estimating and testing an earnings function which emphasizes the simultaneous impact of supply characteristics (like education) and demand characteristics (like job level). The data support this emphasis and point to significant non-linearities. In particular, job level comes out as an important variable.
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We gratefully acknowledge the comments of an anonymous referee.
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Hartog, J., Bierens, H.J. Estimating a hedonic earnings function with a nonparametric method. Empirical Economics 13, 267–294 (1988). https://doi.org/10.1007/BF01972452
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DOI: https://doi.org/10.1007/BF01972452