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Measuring Sample Selection Corrected Gender Wage Gaps in India: 1993-94 to 2009-10

Author

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  • DAS, PANCHANAN

    (Associate Professor of Economics, University of Calcutta, India.)

Abstract

This paper examines gender discrimination in wages in India using the observed effect of productivity differences between women and men as viewed within the human capital theory. For the purpose, the study utilises micro-level information from the 50th and 66th rounds of the National Sample Survey (NSS). The data show that women participation rate in the job market is lower than that for men. As labour market participation is not likely to be random, wage equations have been estimated by applying Heckman’s selection model with two-step estimation techniques using pooled data of two independent samples taken from the two rounds. A substantial wage differential between men and women exists in the Indian labour market, both in rural and urban areas; but the difference has been declining during the post-reform period. The study observes substantial lower wage for women than for men at every educational standard and the wage gap increased significantly among women workers with higher level of education both in rural and urban areas during the period 1993-2010.

Suggested Citation

  • Das, Panchanan, 2013. "Measuring Sample Selection Corrected Gender Wage Gaps in India: 1993-94 to 2009-10," Bangladesh Development Studies, Bangladesh Institute of Development Studies (BIDS), vol. 36(4), pages 81-97, December.
    • Handle: RePEc:ris:badest:0565
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    References listed on IDEAS

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    1. James J. Heckman, 1976. "The Common Structure of Statistical Models of Truncation, Sample Selection and Limited Dependent Variables and a Simple Estimator for Such Models," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 5, number 4, pages 475-492, National Bureau of Economic Research, Inc.
    2. Fields, Gary S, 1979. "Income Inequality in Urban Colombia: A Decomposition Analysis," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 25(3), pages 327-341, September.
    3. Jacob Mincer, 1958. "Investment in Human Capital and Personal Income Distribution," Journal of Political Economy, University of Chicago Press, vol. 66(4), pages 281-281.
    4. Griliches, Zvi, 1977. "Estimating the Returns to Schooling: Some Econometric Problems," Econometrica, Econometric Society, vol. 45(1), pages 1-22, January.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Gender Wage Inequality; Labour Market; India;
    All these keywords.

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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