Unobservable heterogeneity in the income of independent workers in urban Peru
DOI:
https://doi.org/10.18046/j.estger.2024.172.6624Keywords:
self-employed, income, unobserved heterogeneity, quantiles, finite mixtureAbstract
The research estimates that socioeconomic factors influenced the income of self-employed workers during the periods 2017-2019 and 2020-2022, using data from the National Household Survey conducted by the National Institute of Statistics and Informatics. A finite mixture quantile panel regression model was applied, which allowed estimating the heterogeneous effects of socioeconomic factors and modeling the individual characteristics of people, known as unobserved heterogeneity. It was found that, by using two locations or mixtures in the quantile regressions, there is a wide range of effects of years of education across different quantiles for both women and men. Moreover, these effects differ when comparing the periods before and during COVID-19.
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