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The Gender Wage Gap in Paid- and Self-Employment in Australia

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Author Info
Kristy Eastough
Paul W. Miller

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Abstract

This paper presents an analysis of the gender wage gap in the highly regulated Australian labour market. It compares wage outcomes in the wage and salary sector with those for the self-employed. Comparisons with the United States are provided. The large gender pay gap in self-employment suggests that the aggregate gender wage differential will not be eliminated solely through wage determination for wage and salary earners. The greater gender wage gap in the self-employed sector may reflect liquidity constraints that are more difficult for self-employed women to overcome relative to self-employed men. The comparisons with the United States suggest that women will experience deterioration in relative earnings as the Australian labour market is deregulated. Copyright Blackwell Publishing Ltd/University of Adelaide and Flinders University of South Australia 2004.

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Article provided by Blackwell Publishing in its journal Australian Economic Papers.

Volume (Year): 43 (2004)
Issue (Month): 3 (09)
Pages: 257-276
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Handle: RePEc:bla:ausecp:v:43:y:2004:i:3:p:257-276

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Le, Anh T & Miller, Paul W, 1998. "Pitfalls in Including Current Earnings in Labour Market Choice Estimating Equations," Australian Economic Papers, Blackwell Publishing, vol. 37(4), pages 414-19, December. [Downloadable!] (restricted)
  2. Jeff Borland, 1999. "The Equal Pay Case-Thirty Years On," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 32(3), pages 265-272. [Downloadable!] (restricted)
  3. Miller, Paul & Rummery, Sarah, 1991. "Male-Female Wage Differentials in Australia: A Reassessment," Australian Economic Papers, Blackwell Publishing, vol. 30(56), pages 50-69, June.
  4. Bob Gregory, 1999. "Labour Market Institutions and the Gender Pay Ratio," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 32(3), pages 273-278. [Downloadable!] (restricted)
  5. Michael P. Kidd & Michael Shannon, 1996. "Does the level of occupational aggregation affect estimates of the gender wage gap?," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 49(2), pages 317-329, January.
  6. Cotton, Jeremiah, 1988. "On the Decomposition of Wage Differentials," The Review of Economics and Statistics, MIT Press, vol. 70(2), pages 236-43, May. [Downloadable!] (restricted)
  7. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-38, May. [Downloadable!] (restricted)
  8. Miller, Paul W., 1994. "Effects on earnings of the removal of direct discrimination in minimum wage rates: A validation of the Blinder decomposition," Labour Economics, Elsevier, vol. 1(3-4), pages 347-363, September. [Downloadable!] (restricted)
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  9. Vella, Francis, 1993. "Gender Roles, Occupational Choice and Gender Wage Differential," The Economic Record, The Economic Society of Australia, vol. 69(207), pages 382-92, December.
  10. Kidd, Michael P & Viney, Rosalie, 1991. "Sex Discrimination and Non-random Sampling in the Australian Labour Market," Australian Economic Papers, Blackwell Publishing, vol. 30(56), pages 28-49, June.
  11. Puhani, Patrick A, 2000. " The Heckman Correction for Sample Selection and Its Critique," Journal of Economic Surveys, Blackwell Publishing, vol. 14(1), pages 53-68, February. [Downloadable!] (restricted)
  12. Preston, Alison, 1997. "Where Are We Now with Human Capital Theory in Australia?," The Economic Record, The Economic Society of Australia, vol. 73(220), pages 51-78, March.
  13. Mark Wooden, 1999. "Gender Pay Equity and Comparable Worth in Australia: A Reassessment," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 32(2), pages 157-171. [Downloadable!] (restricted)
  14. Kidd, Michael P, 1993. "Immigrant Wage Differentials and the Role of Self-Employment in Australia," Australian Economic Papers, Blackwell Publishing, vol. 32(60), pages 92-115, June.
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  1. Andersson Joona, Pernilla & Wadensjö, Eskil, 2008. "A Gender Perspective on Self-Employment Entry and Performance as Self-Employed," IZA Discussion Papers 3581, Institute for the Study of Labor (IZA). [Downloadable!]
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