Table 3 Determinants of the public sector pay gap: different wage-setting institutions

Dep. variable: NACE proxy to government sector wage gap (2004–2012)

Employment protection

0.0415

0.0914 ^∗

Legislation

(0.0420)

(0.0496)

Trade union density

−0.0017

−0.0031^∗∗∗

(0.0015)

(0.0007)

Bargaining

−0.0172

−0.0414

(0.0506)

(0.0484)

Centralization

0.0620

0.1086 ^∗∗

(0.0530)

(0.0477)

Public-private

0.0008

Trade union density

(0.0031)

Constant

0.0136

−0.1688

0.1703 ^∗∗∗

0.0435

0.1252 ^∗∗∗

0.0677 ^∗∗

(0.1098)

(0.1426)

(0.0326)

(0.0973)

(0.0239)

(0.0242)

Observations

20

23

22

11

23

23

Adjusted R-squared

0.14

0.07

0.32

−0.10

−0.01

0.18