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Tracing the gender wage gap: Income differences between male and female university graduates in Germany

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  • Reimer, David
  • Schröder, Jette
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    Abstract

    "The aim of this paper is to shed light on the causal mechanisms leading to the gender wage gap, drawing on neoclassical as well as sociological labor market theories. A unique dataset from the 2001/2002 Mannheim University Social Sciences Graduate Survey, which overcomes several limitations of standard population surveys when investigating the gender wage gap, is used for the empirical analysis. The sample is homogenous with respect to the measures normally used in income analyses - all of the respondents are university graduates, have a degree in the same field of study, and are observed at career entry. Furthermore, the dataset includes detailed measures of human capital, job search, and career attitudes, which are usually not included in standard population surveys. The results of a sequence of nested regression models show that none of these measures reduces the gender wage gap substantially: on the contrary, the introduction of variables capturing human capital even leads to a small increase in the gap. This indicates that the earnings differential between female and male graduates in the study would be even larger if women had the same human capital endowment as men. Considering that a wage gap of almost 7 percent remains even with the extensive set of variables in the analysis, there is some indication that female university graduates are facing wage discrimination on the German labor market." (Author's abstract, IAB-Doku) ((en))

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    Bibliographic Info

    Article provided by Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] in its journal Zeitschrift für ArbeitsmarktForschung – Journal for Labour Market Research.

    Volume (Year): 39 (2006)
    Issue (Month): 2 ()
    Pages: 235-253

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    Handle: RePEc:iab:iabzaf:v:2006:i:2:p:235-253

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    Related research

    Keywords: Hochschulabsolventen; Lohnunterschied; geschlechtsspezifische Faktoren; Lohndiskriminierung; Bildungsertrag;

    References

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    1. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
    2. Thomas N. Daymonti & Paul J. Andrisani, 1984. "Job Preferences, College Major, and the Gender Gap in Earnings," Journal of Human Resources, University of Wisconsin Press, vol. 19(3), pages 408-428.
    3. Jacob Mincer & Solomon Polachek, 1974. "Family Investments in Human Capital: Earnings of Women," NBER Chapters, in: Marriage, Family, Human Capital, and Fertility, pages 76-110 National Bureau of Economic Research, Inc.
    4. Jacob Mincer & Solomon Polacheck, 1974. "Family Investments in Human Capital: Earnings of Women," NBER Chapters, in: Economics of the Family: Marriage, Children, and Human Capital, pages 397-431 National Bureau of Economic Research, Inc.
    5. Cecilia Rouse & Claudia Goldin, 2000. "Orchestrating Impartiality: The Impact of "Blind" Auditions on Female Musicians," American Economic Review, American Economic Association, vol. 90(4), pages 715-741, September.
    6. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
    7. Knut Gerlach, 1987. "A Note on Male-Female Wage Differences in West Germany," Journal of Human Resources, University of Wisconsin Press, vol. 22(4), pages 584-592.
    8. Kunze, Astrid, 2005. "The evolution of the gender wage gap," Labour Economics, Elsevier, vol. 12(1), pages 73-97, February.
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