Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/79188 
Year of Publication: 
2002
Series/Report no.: 
Working Paper No. 2002-19
Publisher: 
Rutgers University, Department of Economics, New Brunswick, NJ
Abstract: 
We examine the earnings determinants of the self-employed and wage earners in Hungary in the mid-1990's, taking into account two forms of selection: selection into working or non-working for every individual in our sample and selection into self-employment or wage-earning jobs for workers only. Previous studies use switching regression to examine the returns to individual characteristics taking into account only selection into self-employment or wage-earning jobs. We find that the estimated returns to individual characteristics when accounting for both forms of selection differ from estimates correcting for only selection into self-employment or wage-earning jobs. We also find that the earnings determinants of the two sectors are not significantly different from each other.
Subjects: 
decomposition
self-employment
self-selection
switching
transition
JEL: 
C34
J31
P23
Document Type: 
Working Paper

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