Scandinavian Working Papers in Economics

Working Paper Series,
IFAU - Institute for Evaluation of Labour Market and Education Policy

No 2005:12: Measuring conditional segregation: methods and empirical examples

Olof Åslund () and Oskar Nordström Skans ()
Additional contact information
Olof Åslund: IFAU - Institute for Labour Market Policy Evaluation, Postal: Box 513, SE-751 20 Uppsala, Sweden
Oskar Nordström Skans: IFAU - Institute for Labour Market Policy Evaluation, Postal: Box 513, SE-751 20 Uppsala, Sweden

Abstract: In empirical studies of segregation it is often desirable to quantify segregation that cannot be explained by underlying characteristics. To this end, we propose a fully non-parametric method for accounting for covariates in any measure of segregation. The basic idea is that given a set of discrete characteristics, there is a certain probability that a person belongs to a particular group, which can be used to compute an expected level of segregation. We also demonstrate that a modified index of exposure has both favorable analytical features and interpre-tational advantages in such settings. The methods are illustrated by an applica-tion to ethnic workplace segregation in Sweden. We also show how one can use a measure of exposure to study the earnings consequences of segregation stemming from different sources.

Keywords: Exposure; covariates; ethnic workplace segregation

JEL-codes: C15; J15; J42

28 pages, May 19, 2005

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