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Table 8. 
Residual Wage Gap Covariates at the State Level
Coefficient Estimate
Minimum wage 0.128* 
 (0.060) 
Net state domestic product 0.001*** 
 (0.000) 
Rural male unemployment 0.003*** 
 (0.001) 
Urban male unemployment −0.001 
 (0.001) 
Rural female unemployment −0.001** 
 (0.000) 
Urban female unemployment 0.001 
 (0.001) 
State regulations: Adjustments −0.005 
 (0.016) 
State regulations: Disputes 0.007 
 (0.009) 
Enforcement: Inspections 0.002** 
 (0.001) 
Enforcement: Irregularities −0.006** 
 (0.003) 
Enforcement: Cases w/ fines −0.032 
 (0.047) 
Enforcement: Value of fines −0.002* 
 (0.001) 
Coefficient Estimate
Minimum wage 0.128* 
 (0.060) 
Net state domestic product 0.001*** 
 (0.000) 
Rural male unemployment 0.003*** 
 (0.001) 
Urban male unemployment −0.001 
 (0.001) 
Rural female unemployment −0.001** 
 (0.000) 
Urban female unemployment 0.001 
 (0.001) 
State regulations: Adjustments −0.005 
 (0.016) 
State regulations: Disputes 0.007 
 (0.009) 
Enforcement: Inspections 0.002** 
 (0.001) 
Enforcement: Irregularities −0.006** 
 (0.003) 
Enforcement: Cases w/ fines −0.032 
 (0.047) 
Enforcement: Value of fines −0.002* 
 (0.001) 

Notes: Weighted to national level with National Sample Survey Organization sample weights. Standard errors, in parentheses, are clustered by state. *** = p < 0.01, ** = p < 0.05, * = p < 0.10. All regressions have 90 observations at the state–year level and are estimated with an ordinary least squares regression. The residual wage gap is constructed with the pooled sample of male wage earners (458,040 observations) and includes controls for worker productivity characteristics, state dummies, year dummies, and state–year interaction terms.

Source: Authors’ calculations.

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