2014
DOI: 10.1007/s12076-014-0118-y
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A spatial panel wage curve for Spain

Abstract: Most empirical studies on the Spanish wage curve have ignored the possible spatial interaction effects between the regions. This paper reconsiders the Spanish wage curve using more recent data than previous studies and taking into account the role of regional spillovers. From a methodological perspective, we apply the two-step procedure proposed by Bell et al (2000) to estimate a dynamic wage curve with spatial spillovers. In a first stage, we use microdata from the Spanish Social Security Records (Muestra Co… Show more

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Cited by 15 publications
(9 citation statements)
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“…where ρ is an autoregressive parameter, W is a 51 × 51 contiguity weighting matrix, and εit is the disturbance term. Following common practice in the literature, we row‐normalize the contiguity matrix, such that the elements of each row add up to unity (see e.g., Ramos, Nicodemo, & Sanromá, ). We then estimate our model by employing the generalized moment estimator.…”
Section: Resultsmentioning
confidence: 99%
“…where ρ is an autoregressive parameter, W is a 51 × 51 contiguity weighting matrix, and εit is the disturbance term. Following common practice in the literature, we row‐normalize the contiguity matrix, such that the elements of each row add up to unity (see e.g., Ramos, Nicodemo, & Sanromá, ). We then estimate our model by employing the generalized moment estimator.…”
Section: Resultsmentioning
confidence: 99%
“…There is an interesting new literature addressing the spatial heterogeneity of the wage curve (Baltagi and Rokicki, ; Deller, ; Longhi et al ., ; Ramos et al ., ). This literature includes reports of spatial spillover effects between regions as a result of unemployment in neighbouring regions affecting wages in the studied regions.…”
Section: Background and Literature Reviewmentioning
confidence: 97%
“…In the case of wage differences, one of the most innovative works was that by Ramos, Nicodemo, and Sanromá (2015), based on panel data and focused on the spatial wage curve. Likewise, De la Roca and Puga (2017) proved the existence of significant wage premiums favouring large cities.…”
Section: Labour Markets Salaries and Unemploymentmentioning
confidence: 99%