“…Adapting the estimation strategies of Armstrong, Frome and Kung (1979), Barrodale and Roberts (1973), Buchinsky (1994), Chamberlain (1994), and Wagner (1959) the problem of minimization of the sum of absolute deviations of sample wages from an arbitrarily chosen quantile wage can, in the simplest case, be expressed as: The standard errors of the estimated quantile regression coefficients are typically computed by the method of Koenker and Bassett (1982). These standard errors, however, are downward biased because they do not take into account the heteroscedasticity of the disturbance terms.…”