Public-private sector pay differentials in a devolved Scotland



Table 3. Pay gap between public and private sector: OLS results

Males

β* = β pri

Females

β* = βpub

β* = βpri

β* = βpub

Predicted log wages

ln Wpub = 2.2380

ln Wpri = 2.0239

ln Wpub = 2.1496

ln Wprri = 1.7358

ln w pub - ln wpri

0.2132 **

0.4140 **

(Xpub - Xpr

0.2270 **

0.2215 **

0.1892 **

0.3802 **

(106.0 %)

(104.0 %)

(46.0 %)

(92.0 %)

Xpr ( β* - βpr )

-

-0.0082

-

0.0338

(-4.0%)

(8.0 %)

χPub (βPu - β*)

-0.0138

-

0.2248 **

(-6.0 %)

(54.0 %)

-

Note: Cross-section weights applied. *,**, and *** denote significance at 10%, 5% and 1% respectively. Standard errors in parentheses, where OLS standard
errors are robust and the s.e. for the remaining models are bootstrapped. (N) refers to normal, (P) to percentile, and (BC) to bias corrected confidence
intervals (1000 replications).


Public-PRIVATE Pay Differentials                  313




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