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st: Employment opportunities under discrimination?
I am looking for an ado file (preferably for Stata 6.0) that will let
me compute employment probabilities for two population groups (eg men and
women). For each group, separate probabilities are calculated
depending on whether wage discrimination against one group is present or
not. This allows you to come up with an estimate of how many members of the
discriminated against group have withdrawn from the labour force because of
This is a technique developed by Marjorie Baldwin and William G.
Johnson in their 1992 Review of Economics and Statistics
paper "Estimating the employment effects of wage discrimination" (pp.
446-455). It is partly based on the Heckman two-step regression.
Thank you for any pointers you can provide.
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