Type: Package
Title: Blinder-Oaxaca Decomposition for Generalized Linear Model
Version: 1.0
Date: 2015-08-12
Author: Aurelien Nicosia and Simon Baillargeon-Ladouceur
Maintainer: Aurelien Nicosia <nicosia.aurelien@gmail.com>
Description: Perform the Blinder-Oaxaca decomposition for generalized linear model with bootstrapped standard errors. The twofold and threefold decomposition are given, even the generalized linear model output in each group.
License: GPL-2 | GPL-3 [expanded from: GPL (≥ 2)]
Imports: boot, stats
Suggests: MASS
Collate: 'statBO.R' 'GeneralOaxaca.R'
NeedsCompilation: no
Packaged: 2015-08-16 22:11:14 UTC; aureliennicosia
Repository: CRAN
Date/Publication: 2015-08-17 00:33:44

Blinder-Oaxaca Decomposition for Generalized Linear Model

Description

Perform the Blinder-Oaxaca decomposition for generalized linear model with bootstrapped standard errors. The twofold and threefold decomposition are given, even the generalized linear model output in each group.

Details

The DESCRIPTION file:

Package: GeneralOaxaca
Type: Package
Title: Blinder-Oaxaca Decomposition for Generalized Linear Model
Version: 1.0
Date: 2015-08-12
Author: Aurelien Nicosia and Simon Baillargeon-Ladouceur
Maintainer: Aurelien Nicosia <nicosia.aurelien@gmail.com>
Description: Perform the Blinder-Oaxaca decomposition for generalized linear model with bootstrapped standard errors. The twofold and threefold decomposition are given, even the generalized linear model output in each group.
License: GPL (>= 2)
Imports: boot, stats
Suggests: MASS
Collate: 'statBO.R' 'GeneralOaxaca.R'

Index of help topics: 

GeneralOaxaca           General Blinder-Oaxaca Decomposition
GeneralOaxaca-package   Blinder-Oaxaca Decomposition for Generalized
                        Linear Model
chicago                 Labor market and demographic data for employed
                        Hispanic workers in metropolitan Chicago
statBO                  statBO

Author(s)

Aurelien Nicosia and Simon Baillargeon-Ladouceur

Maintainer: Aurelien Nicosia <nicosia.aurelien@gmail.com>

References

T. Bauer and M. Sinning. An extension of the Blinder-Oaxaca decomposition to nonlinear models (2008). Advances in Statistical Analysis, Springer-Verlag.

Examples

data("chicago")
formula=ln.real.wage~ age + female + LTHS + some.college + college + advanced.degree
BO_A <- GeneralOaxaca(formula,  family= Gamma, data=chicago, groupInd=chicago$foreign.born,B=100)
BO_A$twofold

General Blinder-Oaxaca Decomposition

Description

Blinder-Oaxaca decomposition for generalized linear model. It provide the twofold and threefold decomposition describe in Bauer and Sinning (2008), as the characteristic, coefficient and interaction part of the observed difference on the dependent variable between the two groups. Bootstrapped standard errors are calculated (e.g., Efron, 1979).

Usage

GeneralOaxaca(formula, family = stats::gaussian, data,
groupInd, groupRef = "A", B = 1000, control = list())

Arguments

formula

an object of class "formula" (or one that can be coerced to that class): a symbolic description of the model to be fitted.

family

a description of the error distribution and link function to be used in the model. (See family for details of family functions.)

data

an optional data frame, list or environment (or object coercible by as.data.frame to a data frame) containing the variables in the model. If not found in data, the variables are taken from environment(formula).

groupInd

is an indicator variable that is TRUE (or equal to 1) when an observation belongs to Group A, and FALSE (or equal to 0) when it belongs to Group B

groupRef

Group of reference for the decomposition, by default Group A.

B

number of bootstrap replications for the calculation of standard errors

control

a list of parameters for controlling the fitting process.

Details

The twofold and threefold decomposition contains the characteristic and coefficient part (also the interaction for the threefold) of the decomposition, with their proportion with respect to the observed difference between groups. It also give the z value, p value and 95% confidence intervals computed using the bootstrapped standard errors. The regoutput are the results of the generalized linear model applied to data in each group (A and B). See glm for more details about the outputs.

Value

GeneralOaxaca returns the following results:

regoutput

List of two elements (names GroupA and GroupB) with the standard generalized linear model output in each group.

twofold

the twofold decomposition with the respect groupInd.

threefold

the threefold decomposition with the respect groupInd.

n

the size of each respective group.

summaryStat

descriptive statistic of the independent variable in each group.

Note

The function can perform the Blinder-Oaxaca decomposition for any generalized linear model supported by the glm function.

Author(s)

Aurelien Nicosia and Simon Baillargeon-Ladouceur

References

T. Bauer and M. Sinning. An extension of the Blinder-Oaxaca decomposition to nonlinear models (2008). Advances in Statistical Analysis, Springer-Verlag.

B. Efron. Bootstrap Methods: Another Look at the Jackknife (1979). Annals of Statistics, 7(1), 1-26.

Examples

data("chicago")
chicago$real.wage=exp(chicago$ln.real.wage)
formula=ln.real.wage~ age + female + LTHS + some.college + college + 
advanced.degree

# exemple with gamma distribution
BO_A <- GeneralOaxaca(formula,  family= Gamma, data=chicago, 
groupInd=chicago$foreign.born,B=100)
BO_A$twofold 
BO_A$regoutput$GroupA 
BO_A$threefold

Labor market and demographic data for employed Hispanic workers in metropolitan Chicago

Description

Data from a 2013 sample of employed Hispanic workers in metropolitan Chicago. It is a subset of the 2013 Current Population Survey (CPS) Outgoing Rotation Groups (ORG) data set provided by the Center for Economic and Policy Research in Washington, DC (CEPR, 2014).

Usage

data("chicago")

Format

A data frame with 712 observations on the following 9 variables. The 9 variables contain labor market and demographic information on a sample of employed Hispanic workers in the Chicago metropolitan area.

age

the worker's age, expressed in years

female

an indicator for female gender

foreign.born

an indicator for foreign-born status

LTHS

an indicator for having completed less than a high school (LTHS) education

high.school

an indicator for having completed a high school education

some.college

an indicator for having completed some college education

college

an indicator for having completed a college education

advanced.degree

an indicator for having completed an advanced degree

ln.real.wage

the natural logarithm of the worker's real wage (in 2013 U.S. dollars)

Source

Center for Economic and Policy Research (CEPR). 2014. CPS ORG Uniform Extracts, Version 1.9 . Washington, DC.

Examples

data("chicago")
summary(chicago)

statBO

Description

statBO performs a Blinder-Oaxaca decomposition for generalized linear regression models for the individual with indice in the data. statBO is used for the bootstrap estimation of the standard errors

Usage

statBO(data, formula, family, groupRef, groupInd, indice)

Arguments

data

an optional data frame, list or environment (or object coercible by as.data.frame to a data frame) containing the variables in the model. If not found in data, the variables are taken from environment(formula).

formula

an object of class "formula" (or one that can be coerced to that class): a symbolic description of the model to be fitted.

family

a description of the error distribution and link function to be used in the model. (See family for details of family functions.)

groupRef

Group of reference for the decomposition, by default Group A.

groupInd

is an indicator variable that is TRUE (or equal to 1) when an observation belongs to Group A, and FALSE (or equal to 0) when it belongs to Group B

indice

identification of each individual in data. Useful for the call of the boot function.

Value

char

characteristic part in the twofold decomposition

coef

coefficient part in the twofold decomposition

diff

diff of the dependent variable between group

char3

characteristic part in the threefold decomposition

coef3

coefficient part in the threefold decomposition

int

interaction part in the threefold decomposition

Author(s)

Aurelien Nicosia and Simon Baillargeon-Ladouceur

See Also

See Also as GeneralOaxaca