Wage Equation Estimates for Microsimulation Modelling in New Zealand

Abstract

This paper updates wage equation estimates for New Zealand using pooled annual cross-section data from 2006/07 to 2016/17. Building on previous work estimating wage equations for New Zealand we improve the wage measure and the study population definition, present results comparing the unweighted estimates to those derived using the sample weights, and present results incorporating a correction for heteroscedasticity in the selection equation.