“…A strand of literature focuses on estimating the wage gap between the public and private sectors at different points on the wage distribution. Using the quantile regression technique, the studies report that the wage premium for public sector workers tends to be large at the bottom wage quantile and smaller at the top (Azam & Prakash, 2015; Bargain & Melly, 2008; Christofides & Michael, 2013; Depalo et al, 2015; Jürges, 2002; Lucifora & Meurs, 2006; Mueller, 1998; Nielsen & Rosholm, 2001; Rahona-López, Murillo-Huertas, & Salinas-Jiménez, 2016; Ramos, Sanromá, & Simón, 2014). However, Mizala, Romaguera and Gallegos (2011) for Latin America and Blackaby, Murphy and O’Leary (1999) for the UK find that public sector workers earn less than their private sector counterparts at the highest wage percentile.…”