rafmacalaba/data-use-mentions-extended huggingface dataset:
in Mongolia. The MVTP follows key aspects of the so-called demand-driven training approach which is designed to align prospective employees’ skills with the real needs of local employers (Betcherman et al., 2007). The rationale for demand-driven training programs is twofold. First, private institutions can offer relevant, up-to-date training that decentralizes the traditional supply of vocational training by public institutions. Established training providers therefore usually bid to offer training in trades with high labor demand. Second, by combining traditional classroom education with on-the-job training in the form of internships, MVTP can provide training in trades that the market demands.<sup>4</sup> The Employment Promotion Service Center (hereafter, EPSC) and the Metropolitan Employment Department (hereafter, MED), both within the Mongolian Ministry of Labor, oversaw the implementation of this training program. The MVTP is financed by the State Employment Promotion Fund and, according to administrative data from the Ministry of Labor, the total number of participants was 8,000 by 2011 and total program expenditure was approximately 3.5 billion MNT (USD $2.1 million). The EPSC selects training institutions through a competitive bidding process. The selection criteria for training institutions include evidence of ability to provide adequate training, legal registration, curriculum quality, teaching quality, adequacy of training sites, and, importantly, the ability to place trainees in internship positions with registered private employers.

Although the MVTP began in 2003, its effectiveness has never been assessed. This paper focuses on the 2013 call that purposely used an RCT to identify and measure MVTP impacts. In that year, the EPSC selected forty-seven training institutions in Ulaanbaatar that offered 141 courses in six family vocational skills, including construction, hairdressing, cooking, and heavy-machinery operation. The length of training varied from twenty to forty-

> 4 The MVTP is different from “technical vocational training education,” which is considered a form of formal secondary education and last for years. This type of technical education has led to gains in employment and
<mark>WPS3574</mark>

# WAGE DIFFERENTIALS BETWEEN THE PUBLIC AND PRIVATE SECTORS IN INDIA

Elena Glinskaya and Michael Lokshin<sup>1</sup> _The World Bank_

## **ABSTRACT**

_This study uses 1993-94 and 1999-2000 India Employment and Unemployment surveys to investigate wage differentials between the public and private sectors as well as workers’ decisions to join a particular sector. To obtain robust estimates of the wage differential, we apply three econometric techniques each relying on a different set of assumptions about the process of job selection. All three methods show that differences in wages between public sector workers and workers in the formal-private and informal-casual sectors are positive and high. Estimates show that, on average, the public sector premium ranges between 62% and 102% over the private-formal sector, and between 164% and 259% over the informal-casual sector, depending on the choice of methodology. Our review of wage differentials (estimated using similar methodologies) across the world shows that India has one of the largest differentials between wages of public workers and workers in the formal private sector. The wage differentials in India tend to be higher in rural as compared to urban areas, and are higher among women than among men. The wage differential also tends to be higher for low-skilled workers. There is considerable evidence of an increase in the wage differential between 1993-1994 and 1999-2000._

## World Bank Policy Research Working Paper 3574, April 2005

_The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the view of the World Bank, its Executive Directors, or the countries they represent. Policy Research Working Papers are available online at http:
in Rural Burkina Faso.” _Journal of Development Economics_ 79-2: 413-446.

- Kooreman, Peter. 2000. “The Labeling Effect of a Child Benefit System.” _American Economic Review_ 90(3): 571-583.

- Lazarus, Richard S., and Susan Folkman. 1984. _Stress, Appraisal, and Coping._ Springer Publishing Company.

- Levav,  Jonathan, and Peter Mcgraw. 2009. “Emotional Accounting: How Feelings About Money Influence Consumer Choice.” _Journal of Marketing Research_ 46(1): 66-80.

- List, John. 2009. “Special Issue Editorial. An Introduction to Field Experiments in

- Economics.” _Journal of Economic Behavior and Organization_ 70: 443-446.

- Lundberg, Shelly J., Robert A. Pollak, and Terence J. Wales. 1997. “Do Husbands and Wives Pool their Resources? Evidence from the United Kingdom Child Benefit.” _Journal of_
|Interview is an admission requirement<br>General or specific knowledge test is an admission requirement||0.0235<br>(0.0168)<br>0.0281*<br>(0.0150)|
|---|---|---|
|Student body, program, and HEI characteristics (PCA scores)|✓|✓|
|Noise controls, country- and field-fixed effects|✓|✓|
|Observations|1,270|1,751|
|Mean of dependent variable|0.591|9.209|
|Average wage (USD 2019 PPP)||10,424.17|
|R-squared|0.136|0.175|
|Adj R squared|0.113|0.158|

# _Source_ : Own estimations using WBSCPS data.

_Notes_ : This table shows coefficients from the (second stage) OLS regressions of formal employment and log wages on the determinants selected by LASSO in the first stage. The unit of observation is a program. Formal employment equals one if the director reports that almost all of the program graduates are employed or self-employed in the formal sector. Regressions are weighted using sampling weights from the WBSCPS. See definitions of outcomes and PCA scores in Appendix 1. Number of observations vary across variables due to differences in share of missing values. Specifications control for PCA scores of characteristics of the student body, program, and HEI as well as for survey noise controls, country fixed effects, and field fixed effects. See Appendix 1 for the list of the variables included in the PCA indexes. Standard errors clustered at HEI level are in parenthesis. Significance levels: * p<0.1, ** p< 0.05, *** p<0.01.

86
since August 2020 (the campaign launch date), households’ concerns about contracting COVID-19 or malaria in the upcoming year, intentions to purchase mosquito nets, and whether mosquito nets had been treated with insecticide.

**Health facility recorded outcomes.** These data were used to construct objective measures of malaria incidence. Specifically, for every subdistrict, we considered the monthly number of recorded malaria cases and tests conducted, as well as the total population counts.<sup>27</sup> From these, we constructed malaria incidence rates (number of recorded cases per million people), and test positivity rates (number of positive cases per test conducted).

> 27We collected population data from WorldPop (www.worldpop.org), which produces various gridded population count datasets. We used the 2020 1km-resolution data, which were adjusted to match United Nations national population estimates. We used GIS software to compute the total population in each subdistrict.

16
60<br>50 50 50<br>40 40 40<br>Percentage 30 Percentage 30 Percentage 30<br>20 20 20<br>10 10 10<br><!-- End of picture text -->

- (d) Russia, Moldova, Ukraine       (e) South Caucasus (f) Central Asia and Belarus

Source: 2006 LiTS (individual weights)

- **b) What is the socio-demographic profile of those with perceptions of downward mobility?**

**Perceptions of mobility vary by socio-demographic characteristics of the households, though with very few exceptions the prevalent perception is to have moved down in the income distribution after the transition.** We performed a descriptive analysis of the perceptions by income, age, location, education, and employment status. This analysis is aimed at shedding light into the postures of different socio-demographic groups, rather than to find causality or to isolate the effect of particular characteristics. The results show differences in the intensity of the perception, although in almost all cases the predominant view is to have moved down. Also, we would ideally use the characteristics before and after transition for this profiling, but the only information available about characteristics is from 2006. We prefer to report a profile based in 2006 information since this is still informative.

**Not surprisingly, poorer households in 2006 have more negative perceptions of mobility.** Using two different measures of welfare at the household level, we consistently obtain that poorest households in 2006 are more likely to report having moved down in the income distribution (Figure 6). The measures used are monthly household consumption and an index based on asset ownership. Results are roughly similar for both measures. The share of households that perceive movements down are around 55% for the lowest quintile and

12 | P a g e
. (2009) who reported evidence of the positive impacts of parental migration and Mu and de Brauw (2015) who found that parental migration has no significant effect on the height of children, but has positive effects on their weight. 5 These empirical results are obtained using the latest data available from a household survey specially designed for the study of internal migration in China (i.e., the 2008/09 RUMIC data), which we discuss in more detail in the next section.

4
.84|0.365|0.00009|
|Summer crop 2019 (ha)|11.03|4.60|11.03|0.369|0.00009|
|Rain 2019 sowing (mm)|118.0|124.9|118.0|-0.172|-0.00027|
|Rain 2019 growing (mm)|257.7|276.4|257.7|-0.231|-0.00032|
|Rain 2020 sowing (mm)|91.0|90.1|91.0|0.041|0.00001|
|Rain 2020 growing (mm)|295.3|310.7|295.3|-0.174|-0.00020|
|Rain 2021 sowing (mm)|103.0|104.1|103.0|-0.055|-0.00009|
|Rain 2021 growing (mm)|274.0|274.5|274.0|-0.014|-0.00013|
|Rain 2022 sowing (mm)|87.0|88.3|87.0|-0.045|-0.00005|
|Rain 2022 growing (mm)|122.8|127.0|122.8|-0.084|-0.00006|
|Summer crop GDD 2019|1493|1461|1493|0.202|0.00026|
|Summer crop GDD 2010|1290|1261|1290|0.197|0.00025|
|Summer crop GDD 2021|1317|1290|1317|0.219|0.00029|
|Summer crop GDD 2022|1343|1313|1343|0.185|0.00023|
|No. ofobs.|19,660|23,|343|||

_Source:_ Own computation from SAR records and cadastral
captures the views and assessments of a majority of actors with direct stakes in priority setting and judicialization of health.

In order to generate our empirical results, we perform standard statistical techniques (rank sum tests of means, ordered probit regressions, etc.). Whenever the statistical technique is sensitive to the small sample size (i.e. maximum likelihood estimation), we also used alternative tests (ANOVA and bootstrap quintile regressions and Bayesian techniques) for robustness check.

# **A) Empirical findings for the generic implications of the formal model**

To briefly recap the formally generated hypotheses, we expect that for a given institutional configuration _S_ (  ,  ) **,** there will be significant divergence among the bliss points of various stakeholders according to their preferences on two dimensions (efficency and equity): a) healthcare producer, consumer or regulator; and b) the organized or unorganized nature of the lobbying group.

Hypothesis 1 implies that all healthcare policy consumers care about efficiency to a greater extent than the unified public sector agency.<sup>41</sup> Hypothesis 2 suggests that there should be systematic differences among unorganized groups and organized lobbies on the perceived _efficiency_ and _equity_ issues.

If our theoretical assumptions are correct, we should be able to observe stakeholder heterogeneity of perceptions in terms of their general evaluations of the efficiency and equity of the current Benefit Plan and priority setting strategies designed by the Government.

Our measures of efficiency and equity of benefit plans result from question 4 of the general survey, phrased as: “What is the perception of your organization in terms of: a) the quality of the Benefit Plan; b) The efficient distribution of resources within the Benefit Plan; c) The accountability of<sup>health</sup> care providers to patients; d) The capacity of the Benefit Plan to provide similar service quality and attention to both marginalized and non-marginalized groups; e) The capacity of the average patient to have access to prioritized healthcare services
(World income)|6.36***<br>(5.42)||4.59**<br>(2.28)|1.21**<br>(2.19)|

Note: _t_ -values in parenthesis. The empirical models allow for a linear trend to account for the trending nature of the variables and a broken linear trend in 1992 to capture the significant change in trend slopes (and thus the mean-shift in growth rates) due to the political and economic regime change. ***, **, * indicate statistical significance at the one, five, and ten percent, respectively. Source: Haile (2015a,b).

In Ethiopia, using the REER index, a 1 percent real devaluation increases exports by 0.5 percent and reduce imports by about 0.6 percent, thereby leading to an improvement in the trade balance of around 1.1 percent (Haile, 2015a). These results conform to economic theory as a policy of devaluation is expected to have both expenditure-switching (from foreign to domestic goods) and expenditurereducing (reduction in import demand) effects. The empirical estimates in Table 2 (columns 1 and 2), which represent causal effects, suggest that the sum (in absolute value) of export and import elasticities with respect to the real effective exchange rate is 1.1. Therefore, the ML condition is satisfied for Ethiopia, suggesting that a real devaluation of the birr will significantly improve the trade balance. This key finding holds up well against various sensitivity checks. Similar results are obtained using quarterly data for the sub-periods 1993-2013 and 2004-13. The short-run analysis provides robust evidence that Ethiopia’s trade balance does not exhibit the so-called _J_ -curve pattern following devaluation. In other words, the long-term improvement in Ethiopia’s external balance would be achieved without any significant shortterm deterioration in the trade balance (see Annex I).

Further analysis reveals that a 1 percent real devaluation increases
br>MSCI-EM 0.69 0.16 0.55 -0.21 0.22 0.56 0.71 0.87 1.00 S&P500<br>S&P500 0.68 0.17 0.64 -0.20 0.26 0.57 0.67 0.97 0.81 1.00 Gold<br>Gold 0.32 0.39 0.22 0.14 0.21 0.02 0.27 0.18 0.20 0.13 1.00 Commod.<br>Commod. 0.33 0.17 0.18 -0.20 0.05 0.25 0.47 0.39 0.49 0.29 0.32 1.00<br><!-- End of picture text -->

**Source: Calculations based on data from JP Morgan**

The value of the assets under management (AUM) benchmarked to JP Morgan’s local currency EM debt indices is estimated by JP Morgan to have stood at US$146.5 billion in December 2011, up from US$79.1 billion at the end of 2010.<sup>7</sup> Standard Chartered estimates that as of end-2011, the total AUM benchmarked to all dedicated local currency EM bond indices was US$175 billion.<sup>8</sup> Standard Chartered also notes, however, that a bottom-up analysis aggregating country-specific data on bond holdings leads to a much higher estimate of total foreign bond holdings – around US$310 billion for countries accounting for 90% of the market capitalization of the JP Morgan GBI-EM Global Diversified Index.<sup>9</sup> This observation goes to the heart of understanding the investor base: foreign participation in local currency EM debt markets involves many different investor types, not just EM-dedicated, benchmarked funds.

> 6 The finding that EM local currency debt has been a strong performer
sectoral share of Agriculture in total employment is severely under reported and using such data would lead to spurious estimates of sectoral gaps in productivity.

2. For many country-years, the source used to construct the series refers to a particular period or month. Consider a case in which such a survey was conducted in a period in which many workers changed their activity from the sector in which they usually work to a sector in which they shifted temporarily to satisfy the transitory high demand. For instance, many workers leave their usual jobs to satisfy the increased demand for labor in agriculture during harvest season. Such a scenario will lead to under estimation of sectoral share of employment in the sector from which the workers moved temporarily.

The two concerns above necessitates the cleaning of the data before it could be used for analysis. The specific details of how the data on sectoral share are adjusted from the raw data are provided in the data appendix. Data correction basically consists of two main steps: first, for each country selecting a data source that is free of any major concerns (for example, limits with regards to geographical coverage, period of the year, age groups, sector/occupations etc.) and second, including annual data constructed from other sources provided the average annual change in sectoral shares of employment remain reasonable. The final dataset consists of more than 1,800 data points spread across 150 countries. Yet, the number of data points available for a country varies significantly: from 35 in Switzerland to a single observation in around 40 countries.

The next step is to harmonize the sectors across WDI and GTAP. The WDI reports value added and employment data for the three broad sectors of Agriculture (A), Industry (I) and Services etc. (S) which can be aggregated from the constituents sectors in the International Standard Industry Classification (ISIC, revision 3). On the other hand, the GTAP reports data using a much finer classification of 57 sectors and uses a combination ISIC and Central Product Classification (
***<br>(0.0192)|—|—|0.2202***<br>(0.0173)|—|—|—|
|R-squared|0.1197|0.1090|0.1569|0.2982|0.2665|0.2982|0.2982|
|Observations|7480|7480|7480|7404|7404|7404|7404|
|Mean dep. var.|2.60|2.60|2.60|2.60|2.60|2.60|2.60|
|F-stat excl. inst.|140.1|61.2|343.3|161.7|0.02|268.7|134.4|
|Survey FE|Yes|Yes|Yes|Yes|Yes|Yes|Yes|
|District FE|Yes|Yes|Yes|Yes|Yes|Yes|Yes|
|Controls|No|No|No|Yes|Yes|Yes|Yes|
|_Panel B: _<br>Boy frst|_Husband’s of t_<br>—|_he married w_<br>—|_omen with 2 _<br>—|_or more child_<br>-0.2393***|_ren younger _<br>-0.4619***|_than 18 year_<br>-0.0115|_s old_<br>-0.0153|
|||||(0.0204)|(0.0309)|(0.0262)|(0.0277)|
|Boy second|—|—|—|-0.2240***<br>(0.0205)|-0.4465***<br>(0.0304)|0.0057<br>(0.0266)|—|
|Two girls|
In line with RNRA’s tradition of piloting, exploring impacts of targeted fee reductions, with or without efforts to increase male and female land owners’ or SLMs’ awareness/knowledge, appears a promising and low cost way to quickly identify options to help ensure registration of all transfers. In doing so, it could not only help ensure the sustainability of the large investment made under LTR but, more importantly, provide the basis for productive land use and conflict reduction potential in Rwanda.

Beyond Rwanda, our analysis points towards two important lessons. First, to ensure that expected benefits can be sustained, support to establishment or improvement of land registries should consider the set-up and operations phases jointly rather than in separation from each other, with a clear understanding of the private benefits that may accrue to different types of users, the social benefits, and the way in which these match up with available financing options. More in-depth analysis of the cost of service provision in Rwanda may provide useful inputs that could then be drawn into an economic analysis. Second, even if formal systems are far from providing universal coverage, analysis of administrative data routinely available from land registries has enormous potential to identify strengths, gaps, and risks for land governance in an objective and actionable way that can provide a basis for both output-based support to the land sector and in-depth analysis of the underlying issues.

15
pollution-intensive ones. In addition, their analysis FDI inflows they suggest that foreign investments were higher in industries that were more intensive in air and water pollution.

While the situation in Vietnam differs in many respects from the Indian experience in terms of policy and scale of the economy, there are remarkable similarities in the history of their trade policies which were characterized by a long period of import-substitution, followed by rapid liberalization in a short period of time.

For this study, four hypotheses were tested using industry-level economic and environmental data for Vietnam:

1. Since 2000, Vietnam has become more specialized in the production from dirty industries relative to clean industries (the composition effect on domestic production).

2. As a result of the trade treaty with the US in 2000, Vietnam has become more specialized in share of exports from dirty industries relative to clean industries (composition effect on trade flows).

3. Since 1997, Vietnam has become more specialized in the exports from dirty industries relative to clean industries (the composition effect on exports).

4. There has been greater inflow of foreign investment into dirty industries relative to clean industries.

To test the first hypothesis, we measure whether domestic production has shown greater increase in dirty industries relative to clean industries between 2000 and 2002. Domestic production is a function of labor productivity (L), capital productivity (K), and pollution intensity (P). We use 2-digit Vietnam Standard Industrial Classification (VSIC) level data for manufacturing industries to examine if output has shown greater increase in the pollution intensive sectors compared to less pollution intensive sectors in the period following trade liberalization measures. The regression model is: 13