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Escolaridade e o diferencial de rendimentos entre o setor privado e o setor público no Brasil

Author

Listed:
  • Breno Braga

    (University of Michigan)

  • Sergio Firpo

    (Escola de Economia de São Paulo da Fundação Getúlio Vargas)

  • Gustavo Gonzaga

    (Department of Economics PUC-Rio)

Abstract

We study the determinants of the public-private earnings gap for different levels of schooling of Brazilian workers. First, using the current earnings as the variable of interest, we estimate that less educated people receive higher earnings in the public sector (i.e., the earnings gap is favorable to the public sector). On the other hand, for workers with higher schooling, the earnings gap disappears or becomes favorable to the private sector. In addition, we consider the different retirement regimes in Brazil by creating the variable Present Value of Work Contract (PVWC). This variable is a measure of the lifetime earnings for each individual in our database. In contrast to the results from the current earnings analysis, we found that the PVWC gap is favorable to the public sector even for the highest educated group of workers.

Suggested Citation

  • Breno Braga & Sergio Firpo & Gustavo Gonzaga, 2008. "Escolaridade e o diferencial de rendimentos entre o setor privado e o setor público no Brasil," Textos para discussão 560, Department of Economics PUC-Rio (Brazil).
    • Handle: RePEc:rio:texdis:560
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    Cited by:

    1. Souza, Pedro H.G.F., 2013. "The Decline in Inequality In Brazil, 2003-2009: The Role Of The State," Institute for Research on Labor and Employment, Working Paper Series qt33q062zj, Institute of Industrial Relations, UC Berkeley.
    2. Enlinson Mattos & Vitor França, 2011. "Public employment and income redistribution: causal evidence for Brazilian municipalities," Public Choice, Springer, vol. 146(1), pages 43-73, January.
    3. World Bank, 2010. "Cape Verde : Initial Assessment of the Formal Labor Market," World Bank Publications - Reports 2986, The World Bank Group.

    More about this item

    Keywords

    Earning Gaps; Retirement; Public Sector JEL Codes: J31; J45;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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