Measuring Selectivity-Corrected Gender Wage Gaps in the EU

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URL:	http://ub-madoc.bib.uni-mannheim.de/153
URN:	urn:nbn:de:bsz:180-madoc-1536
Document Type:	Working paper
Year of publication:	2003
Publication language:	English
Institution:	Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series:	Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject:	330 Economics
Classification:	JEL: J31 J16 ,
Subject headings (SWD):	Europäische Union , Lohndifferenzierung , Geschlecht
Abstract:	We investigate different techniques to assess the gender pay gap in five EU countries (France, Germany, Italy, Spain and United Kingdom), focusing on self-selection into market work. Results show that selectivity correction has an impact on both wage estimates and wage gap decomposition. If there is a positive correlation between the wage and the propensity to participate, the estimated pay gap understates the true difference in earnings when self-selection is ignored. The estimated pay gap differs considerably at different quantiles of the wage distribution, and is sensitive to the choice of estimator.
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Beblo, Miriam ; Beninger, Denis ; Heinze, Anja ; Laisney, François (2003) Measuring Selectivity-Corrected Gender Wage Gaps in the EU.

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