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The Transition in East Germany: When Is a Ten-Point Fall in the Gender Wage Gap Bad News?

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Author Info
Jennifer Hunt (University of Montreal)

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Abstract

The gender wage gap in East Germany has narrowed by 10 percentage points in transition, but women have experienced much more severe employment difficulties than men. Using the German Socio-Economic Panel for 199094, I show that on balance women have lost relative to men. Almost half the relative wage gain is due to exits from employment of the low skilled, who are disproportionately women. The female employment decline is not primarily voluntary: more than half the gender gap in the hazard rate from employment reflects a general fall in demand for low-skilled workers. Reduced child care plays no role.

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Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 20 (2002)
Issue (Month): 1 (January)
Pages: 148-169
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Handle: RePEc:ucp:jlabec:v:20:y:2002:i:1:p:148-169

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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. Peter Krause, 1994. "Armut im Wohlstand: Betroffenheit und Folgen," Discussion Papers of DIW Berlin 88, DIW Berlin, German Institute for Economic Research.
  2. M. Burda & C. Schmidt, . "Getting Behind The East-West Wage Differential: Theory and Evidence," Sonderforschungsbereich 373 1997-77, Humboldt Universitaet Berlin.
  3. Blau, Francine D & Kahn, Lawrence M, 1997. "Swimming Upstream: Trends in the Gender Wage Differential in 1980s," Journal of Labor Economics, University of Chicago Press, vol. 15(1), pages 1-42, January. [Downloadable!] (restricted)
  4. Alan B. Krueger & Jorn-Steffen Pischke, 1992. "A Comparative Analysis of East and West German Labor Markets: Before and After Unification," NBER Working Papers 4154, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  5. Begg, David & Portes, Richard, 1992. "Eastern Germany Since Unification: Wage Subsidies Remain a Better Way," CEPR Discussion Papers 730, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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This page was last updated on 2009-11-21.

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