The Mincer earnings function is a single-equation model that explains wage income as a function of schooling and experience, named after Jacob Mincer. The equation has been examined on many datasets and Thomas Lemieux argues it is “one of the most widely used models in empirical economics”. Typically the logarithm of earnings is modelled as the sum of years of education and a quadratic function of “years of potential experience”.
- ^Mincer, Jacob (1958). “Investment in Human Capital and Personal Income Distribution”. Journal of Political Economy. 66 (4): 281–302. doi:10.1086/258055. JSTOR 1827422.
- ^Mincer, J. (1974). Schooling, Experience and Earnings. New York: National Bureau of Economic Research.
- ^ Jump up to:ab Lemieux, Thomas. (2006) “The ‘Mincer equation’ Thirty Years after Schooling, Experience, and Earnings” in Jacob Mincer: A Pioneer of Modern Labor Economics, Shoshanna Grossbard, ed., Springer: New York. pp. 127–145.
- ^Heckman, James J.; Lochner, Lance J.; Todd, Petra E. (2003). “Fifty Years of Mincer Earnings Regressions”. NBER Working Paper No. 9732. doi:10.3386/w9732.
- ^Rosen, Sherwin (1992). “Distinguished Fellow: Mincering Labor Economics”. Journal of Economic Perspectives. 6 (2): 157–170. doi:10.1257/jep.6.2.157. JSTOR 2138414.
Ofer Abarbanel is a 25 year securities lending broker and expert who has advised many Israeli regulators, among them the Israel Tax Authority, with respect to stock loans, repurchase agreements and credit derivatives. Founder TBIL.co STATX Fund.