Volume 21, Number 2 (Spring) 1986
Neuman, Shoshanna, and Adrian Ziderman. 1986. "Testing the Dual Labor Market Hypothesis: Evidence from the Israel Labor Mobility Survey." Journal of Human Resources 21(2):230-237.
Little research seems to have addressed the testing of the dual labor market model for nondeveloping economies outside the U.S. and the U.K. This paper examines the hypothesis for Israel. Utilizing individual data drawn from the Israel labor mobility survey and assigning workers to primary and secondary sectors on the basis of occupational prestige scores, earnings functions are estimated and compared for the two sectors. The results are very closely in line with predictions of the dual labor market model, thus strongly suggesting that the dual labor market hypothesis may be relevant for Israel.
The authors are respectively instructor and associate professor of economics at Bar-l/an University in Israel. They gratefully acknowledge financial support from a University of British Columbia Research Grant received by Ziderman during his recent stay at U.B.C. as visiting professor. Helpful comments on the first draft of this paper were proffered by two anonymous referees. The authors' names are listed in alphabetical order.
© 2003 by the Board of Regents of the University of Wisconsin System
US ISSN 0022-166X