The Determinants of Earning Differentials in Ankara and Istanbul

Abstract

In this study, an attempt is made to compare and contrast the determinants of earnings differentials in Ankara and Istanbul. The determinants of earnings differentials are first examined with semi-logarithmic single equation models based on the basic human capital approach. Secondly, extended models are formed in which all the variables are expressed as dummy variables. In general, the average per hour earnings in Istanbul, is higher than in Ankara. It is found that age, gender, education and job status have significant effects on the explanatory power of the model, whereas occupation and marital status have only limited effect.Turkey, earning differentials