IZA DP No. 2921: An Extension of the Blinder-Oaxaca Decomposition to a Continuum of Comparison Groups
published in: Economics Letters, 2008, 100 (2), 292-296
This paper proposes an extension of the Blinder-Oaxaca decomposition from two to a continuum of comparison groups. The proposed decomposition is then estimated for the case of racial wage differences in urban Peru, exploiting a novel data set that allows the capturing of mestizaje (racial mixtures).