Table 5.1:  Probit Results for Probability of Working

 

(1)

(2)

(3)

Market Wages

Predicted Wages

Own Wages
if Working,
Else Predicted
Wages

Independent Variables

Coefficient

SE

Marginal Effect

Coefficient

SE

Marginal Effect

Coefficient

SE

Marginal Effect

Wage

0.267

(0.255)

0.014

0.303

(0.426)

0.015

-2.220**

(0.341)

-0.014

Wage Squared

-0.010

(0.009)

-0.0005

-0.014

(0.016)

-0.001

0.080**

(0.013)

0.001

Demographic Variables

Male

-0.034

(0.177)

-0.002

0.030

(0.189)

0.001

-0.040

(0.186)

-0.0003

Age

0.069**

(0.022)

0.003

0.079**

(0.028)

0.004

0.096**

(0.025)

0.001

Age Squared

-0.001**

(0.000)

-0.00004

-0.001**

(0.000)

-0.00005

-0.001**

(0.000)

-0.00001

Some College

0.188*

(0.111)

0.009

0.207*

(0.112)

0.010

0.187

(0.121)

0.001

AA Degree

0.160

(0.108)

0.008

0.188*

(0.110)

0.009

0.145

(0.117)

0.001

Bachelor, Master, PhD, or Professional School Degree

0.131

(0.191)

0.006

0.198

(0.204)

0.008

0.090

(0.207)

0.001

Black

-0.192*

(0.111)

-0.011

-0.189*

(0.111)

-0.011

-0.244**

(0.118)

-0.002

Hispanic

-0.160

(0.202)

-0.009

-0.172

(0.201)

-0.010

-0.209

(0.219)

-0.002

Native American

-0.690**

(0.277)

-0.068

-0.738**

(0.287)

-0.076

-0.945**

(0.305)

-0.025

Asian

0.639*

(0.361)

0.018

0.655*

(0.360)

0.018

0.677*

(0.370)

0.002

Not a U.S. Citizen

-0.383**

(0.238)

-0.028

-0.436*

(0.245)

-0.033

-0.396

(0.261)

-0.005

Citizen by Naturalization

-0.438**

(0.208)

-0.034

-0.422**

(0.209)

-0.032

-0.476**

(0.228)

-0.006

Family Characteristics

Weekly Earnings of All Household Members Except Nurse

-0.0004**

(0.000)

-0.00002

-0.0004**

(0.000)

-0.00002

-0.0005**

(0.000)

-0.000003

Married

0.005

(0.132)

0.0002

0.011

(0.131)

0.001

0.018

(0.140)

0.0001

Previously Married

0.104

(0.153)

0.005

0.106

(0.151)

0.005

0.093

(0.166)

0.001

No. of Kids Aged 0-5 in Household

-0.051

(0.074)

-0.003

-0.054

(0.073)

-0.003

-0.039

(0.082)

-0.0003

No. of Kids Aged 6-12 in Household

-0.055

(0.057)

-0.003

-0.057

(0.056)

-0.003

-0.075

(0.060)

-0.0005

No. of Kids Aged 13-17 in Household

0.015

(0.069)

0.001

0.010

(0.069)

0.001

-0.017

(0.078)

-0.0001

Market Characteristics 

Northeast

0.217

(0.136)

0.010

0.240*

(0.136)

0.011

0.243*

(0.143)

0.001

Midwest

0.370**

(0.139)

0.016

0.347**

(0.145)

0.015

0.410**

(0.146)

0.002

South

0.149

(0.127)

0.007

0.100

(0.137)

0.005

0.152

(0.125)

0.001

MSA Population 100,000-499,999

-0.038

(0.132)

-0.002

0.009

(0.133)

0.0004

0.023

(0.138)

0.0001

MSA Population 500,000-999,999

0.093

(0.170)

0.004

0.150

(0.179)

0.007

0.225

(0.183)

0.001

MSA Population 1,000,000-2,499,999

-0.138

(0.137)

-0.008

-0.061

(0.150)

-0.003

-0.029

(0.140)

-0.0002

MSA Population 2,500,000+

-0.016

(0.140)

-0.001

0.153

(0.187)

0.007

-0.015

(0.132)

-0.0001

Year Dummy Variables

1995

0.172

(0.149)

0.008

0.176

(0.150)

0.008

0.198

(0.162)

0.001

1996

0.235

(0.167)

0.010

0.183

(0.176)

0.008

0.207

(0.181)

0.001

1997

-0.029

(0.148)

-0.001

-0.100

(0.163)

-0.005

-0.110

(0.162)

-0.001

1998

0.014

(0.151)

0.001

-0.019

(0.156)

-0.001

-0.031

(0.167)

-0.0002

1999

0.258

(0.175)

0.011

0.258

(0.174)

0.011

0.248

(0.190)

0.001

2000

0.103

(0.154)

0.005

0.076

(0.155)

0.004

0.125

(0.171)

0.001

2001

0.142

(0.157)

0.006

0.146

(0.156)

0.007

0.156

(0.167)

0.001

 

Log-likelihood

-529.04

-528.69

-472.19

N

4,478

4,478

4,478

*p < 0.10
**p < 0.05

Notes: (1) dependent variable equals one if employed, and equals zero otherwise; (2) all regressions include a constant; and (3) standard errors are estimated using the "robust" option in Stata.

Source: Current Population Survey Outgoing Rotation Group Files, 1994-2001