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Regional evidence on the effect of the national minimum wage on the gender pay gap

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  • Helen Robinson

Abstract

Robinson H. (2005) Regional evidence on the effect of the National Minimum Wage on the gender pay gap, Regional Studies 39 , 855-872. This paper provides evidence on employment rates and the extent of the change in the gender wage gap across regions around the introduction of the National Minimum Wage (NMW). The variation in the proportions of low-paid workers across Britain provides a 'quasi' natural experiment with which to try and measure the effect of the introduction of the NMW. All things being equal, if women are over-represented amongst the low paid, and the proportion of low-paid workers varies across regions, one might expect to see the introduction of the NMW narrowing the overall gender pay gap by varying degrees across the country. Using difference-in-differences-type estimation on Labour Force Survey data, it is concluded that there is variation in the limited narrowing of the overall gender pay gap across regions, consistent with regional differences in the incidence and magnitude of low pay.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Regional Studies.

Volume (Year): 39 (2005)
Issue (Month): 7 ()
Pages: 855-872

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Handle: RePEc:taf:regstd:v:39:y:2005:i:7:p:855-872

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Keywords: Employment rates; Gender pay gap; Difference-in-differences; Taux d'emploi; Ecart des salaires entre les sexes; Difference-en-differences; Erwerbstatigkeitsraten; Lohnabstand zwischen den Geschlechtern; Unterschied-in-Unterschieden; Tasas de empleo; Diferencias salariales por genero; Diferencias en diferencias; JEL classification: J38;

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  1. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-in-Differences Estimates?," The Quarterly Journal of Economics, MIT Press, vol. 119(1), pages 249-275, February.
  2. Richard Dickens & Alan Manning, 2004. "Has the national minimum wage reduced UK wage inequality?," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 167(4), pages 613-626.
  3. Alana Gilbert & Euan Phimister & Ioannis Theodossiou, 2001. "The Potential Impact of the Minimum Wage in Rural Areas," Regional Studies, Taylor & Francis Journals, vol. 35(8), pages 765-770.
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Cited by:
  1. Hirsch, Boris & König, Marion & Möller, Joachim, 2009. "Is There a Gap in the Gap? Regional Differences in the Gender Pay Gap," IZA Discussion Papers 4231, Institute for the Study of Labor (IZA).
  2. H. Ada & Elizabeth Roberts & Robert Elliott & David Bell & Anthony Scott, 2006. "Comparing the New Earnings Survey (NES) and the Labour Force Survey (LFS): An Analysis of the differences between the data sets and their implications for the pattern of geographical pay in the UK," Regional Studies, Taylor & Francis Journals, vol. 40(6), pages 645-665.

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