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Measuring the pay disparity between typically female occupations and other jobs: A bivariate selectivity approach

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  • Elaine Sorensen
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    Abstract

    The author of this study, using a bivariate probit selectivity model with data from the 1984 Panel Survey of Income Dynamics, finds that women in female-dominated jobs earned 6-15% less than women with the same characteristics in other occupations. These results support the crowding hypothesis, according to which women are crowded into "female jobs" because of employer discrimination, resulting in lower wages for those jobs. Previous studies, using ordinary least squares analysis, have found a higher earnings differential; but most of those studies, unlike the present one, failed to control either for individuals' decision whether or not to work or for their choice of occupation. (Abstract courtesy JSTOR.)

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    Bibliographic Info

    Article provided by ILR Review, Cornell University, ILR School in its journal ILR Review.

    Volume (Year): 42 (1989)
    Issue (Month): 4 (July)
    Pages: 624-639

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    Handle: RePEc:ilr:articl:v:42:y:1989:i:4:p:624-639

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    Cited by:
    1. Kimberly Bayard & Judith Hellerstein & David Neumark & Kenneth Troske, 1999. "New Evidence on Sex Segregation and Sex Differences in Wages from Matched Employee-Employer Data," NBER Working Papers 7003, National Bureau of Economic Research, Inc.
    2. Kathy A. Paulson Gjerde, 2002. "The existence of gender-specific promotion standards in the U.S," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 23(8), pages 447-459.
    3. Hansen, Jörgen & Wahlberg, Roger, 2000. "Occupational Gender Composition and Wages in Sweden," IZA Discussion Papers 217, Institute for the Study of Labor (IZA).
    4. José de Hevia & María Arrazola, 2009. "Marginal effects in the double selection regression model: an illustration for the wages of women in Spain," Economics Bulletin, AccessEcon, vol. 29(2), pages 611-621.
    5. repec:fth:prinin:353 is not listed on IDEAS
    6. John Baffoe-Bonnie, 2009. "Black–White Wage Differentials in a Multiple Sample Selection Bias Model," Atlantic Economic Journal, International Atlantic Economic Society, vol. 37(1), pages 1-16, March.
    7. Andrén, Daniela & Andrén, Thomas, 2007. "Occupational gender composition and wages in Romania: from planned equality to market inequality?," Working Papers in Economics 261, University of Gothenburg, Department of Economics.
    8. Fernando Munoz-Bullon, 2008. "The gap between male and female pay in the Spanish tourism industry," Business Economics Working Papers wb085713, Universidad Carlos III, Departamento de Economía de la Empresa.
    9. Preston, Jo Anne, 1999. "Occupational gender segregation Trends and explanations," The Quarterly Review of Economics and Finance, Elsevier, vol. 39(5), pages 611-624.
    10. M. Melinda Pitts, 2002. "Why choose women's work if it pays less? A structural model of occupational choice," Working Paper 2002-30, Federal Reserve Bank of Atlanta.
    11. Mohanty, Madhu Sudan, 2012. "Effects of positive attitude and optimism on wage and employment: A double selection approach," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 41(3), pages 304-316.

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