Compensating Differentials and Self-selection: An Application to Lawyers.

S-Tier
Journal: Journal of Political Economy
Year: 1988
Volume: 96
Issue: 2
Pages: 411-28

Score contribution per author:

8.043 = (α=2.01 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper models individual choice between two types of jobs as dependent on the difference i n potential earnings and on preferences for nonpecuniary compensation. The model leads to simultaneous estimation of earnings and job choice functions in a manner that takes account of self-selection of individuals into the sector of highest utility. An application to lawyers choosing between private and "public-interest" law casts doubt on the notion that public-interest lawyers are accepting substantially lower earnings by virtue of their choice-an impression derived from es timation of earnings functions without accounting for self-selection. The estimation technique also takes proper account of the "'choice-based" nature of the sample. Copyright 1988 by University of Chicago Press.

Technical Details

RePEc Handle
repec:ucp:jpolec:v:96:y:1988:i:2:p:411-28
Journal Field
General
Author Count
1
Added to Database
2026-01-25