WAGE DETERMINATION OF THE THAI PEOPLE

Abstract

Abstract— This paper aims at examining current factors influencing wages of Thai people. With the estimation using Thailand Labor Force Survey data, the result declares the positive relationship between wage and income since wage takes the largest s hare of Thai people’s earning. Education positively affects individual wages, which corresponds to the finding that higher wage earned as age rises. Workers whose occupation requiring longer years of schooling; professionals and technicians, receive greater wages. Employees in manufacturing industry comparatively gain more earnings than those in agricultural ones. People living in urban area, especially in big cities, possess greater chances for more wages. The findings lead to recommendations in further studies on wage gaps between male and female and between workers in urban and rural area. To increase wages, policymakers have to promote in-school education and provide skills that meet the need of the labor market.