Gender wage discrimination and trade openness : prejudiced employers in an open industry


Ben Yahmed, Sarra


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URL: https://ub-madoc.bib.uni-mannheim.de/43639
URN: urn:nbn:de:bsz:180-madoc-436396
Document Type: Working paper
Year of publication: 2017
The title of a journal, publication series: ZEW Discussion Papers
Volume: 17-047
Place of publication: Mannheim
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: F16 , J31 , J7 , L13,
Keywords (English): Gender wage gap , employer taste-based discrimination , international trade , imperfect competition
Abstract: I introduce taste-based discrimination in a trade model with imperfect competition and provide an explanation for the heterogeneous effects of international trade on the gender wage gap within sectors. Firms operate in an oligopoly where prejudiced employers can use their rents to pay men a premium in line with Becker’s theory. On one hand, import competition reduces local rents and with them the average gender wage gap in sectors that were sheltered from competition prior to trade liberalization. On the other hand, easier access to foreign markets can increase domestic firms’ profits and enable discriminatory firms to maintain wage gaps. Evidence from the Uruguayan trade liberalisation supports the empirical relevance of the taste-based discrimination mechanism at the sectoral level.

Das Dokument wird vom Publikationsserver der Universitätsbibliothek Mannheim bereitgestellt.




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Ben Yahmed, Sarra (2017) Gender wage discrimination and trade openness : prejudiced employers in an open industry. Open Access ZEW Discussion Papers Mannheim 17-047 [Working paper]
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