Murillo-Huertas, I. P.; Ramos, R.; Simon, H.
  • Any: 2020
    Revisiting interregional wage differentials: New evidence from Spain with matched employer-employee data. Journal of Regional Science, 60 (2), 296-347
    DOI: 10.1111/jors.12459

    This article examines wage differences across Spain's NUTS‐2 regions along the entire wage distribution based on matched employer‐employee microdata from 2006 to 2014. Unlike previous related studies, we properly control for differences in regional purchasing power parities, which are very large in practice. Although part of the raw regional wage differences observed are explained by differences between regions in productive structures and, to a much lesser extent, in labor forces, noteworthy, very similar throughout the wage distribution regional differences net of composition effects arise even after controlling for a broad set of individual and firm characteristics.