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st: How to interpret Oaxaca?


From   Charlotta Magnusson <charlotta.magnusson@sofi.su.se>
To   statalist@hsphsun2.harvard.edu
Subject   st: How to interpret Oaxaca?
Date   Mon, 07 Dec 2009 11:55:27 +0100

Dear listusers,

I am using STATA 10 to try to perform Blinder Oaxaca decomposition. I have problem with interpreting the unexplained part for detailed variables. How do I interpret e.g. the variable edu (education) in the unexplained part. (see below) How do I consider the intercept (which is positive for women) when interpreting the variables? (see below) I'm really new to all this and hope you guys don't feel annoyed if myquestions are too basic.

Best regards,
Lotta


.oaxaca lnwage edu exp exp2 requieedu trained authority autonomy intern public, by (women) pooled detail

Blinder-Oaxaca decomposition Number of obs = 2844

           1: women = 0
           2: women = 1

------------------------------------------------------------------------------
             |               Robust
lnwage | Coef. Std. Err. z P>|z| [95% Conf. Interval]
-------------+----------------------------------------------------------------
Differential |
Prediction_1 | 4.788947 .0086897 551.11 0.000 4.771915 4.805978 Prediction_2 | 4.615645 .0067895 679.82 0.000 4.602338 4.628953 Difference | .1733014 .0110276 15.72 0.000 .1516876 .1949151
-------------+----------------------------------------------------------------
Explained    |
edu | -.0034005 .0024698 -1.38 0.169 -.0082412 .0014402
      exp |   .0125292   .0065196     1.92   0.055    -.0002489    .0253073
exp2 | -.0154632 .0045769 -3.38 0.001 -.0244337 -.0064927 requireedu | .0064778 .0029525 2.19 0.028 .000691 .0122646 trained | .0195371 .0029021 6.73 0.000 .0138491 .025225 authority | .0186862 .0029988 6.23 0.000 .0128086 .0245638 autonomy | .0047546 .0012853 3.70 0.000 .0022355 .0072737 intern | .0006255 .00053 1.18 0.238 -.0004133 .0016644 public| .0414331 .0038519 10.76 0.000 .0338835 .0489828 Total | .0851799 .0085466 9.97 0.000 .0684288 .1019309
-------------+----------------------------------------------------------------
Unexplained  |
edu | .1854117 .056676 3.27 0.001 .0743288 .2964945
      exp |   .0473325   .0463625     1.02   0.307    -.0435363    .1382013
exp2 | .0054573 .0276459 0.20 0.844 -.0487276 .0596423 requireedu | -.0016687 .0148152 -0.11 0.910 -.0307059 .0273686 trained | -.0197569 .0311631 -0.63 0.526 -.0808354 .0413216 authority | .0059023 .0051046 1.16 0.248 -.0041025 .0159072 autonomy | .069515 .0237158 2.93 0.003 .0230329 .1159971 intern | -.0061785 .004479 -1.38 0.168 -.0149571 .0026001 public | -.0153003 .008253 -1.85 0.064 -.0314759 .0008753 _cons | -.182593 .0659775 -2.77 0.006 -.3119065 -.0532795 Total | .0881215 .0093661 9.41 0.000 .0697642 .1064787
------------------------------------------------------------------------------

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