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Gender, Motivation, Experience and Wages

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  • Joanna Swaffield

Abstract

Using data from the British Household Panel Survey, 1991-97 this paper investigates the structure of the female wage equation and the gender wage differential. The discriminatory portion of the gender wage differential is overstated by over 40% when inadequate measures of female labour market experience are included in the wage equation. The degree of labour market motivation, aspirations and constraints are found to have a significant impact on the female wage. Moreover, the impact of time out of the labour market varies across gender, activity undertaken while out, labour market motivation and the degree of male occupational domination.

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Bibliographic Info

Paper provided by Centre for Economic Performance, LSE in its series CEP Discussion Papers with number dp0457.

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Date of creation: May 2000
Date of revision:
Handle: RePEc:cep:cepdps:dp0457

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Web page: http://cep.lse.ac.uk/_new/publications/series.asp?prog=CEP

Related research

Keywords: Experience; motivation; unobserved heterogeneity; gender wage differentiation;

References

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  1. Vella, Francis, 1994. "Gender Roles and Human Capital Investment: The Relationship between Traditional Attitudes and Female Labour Market Performance," Economica, London School of Economics and Political Science, London School of Economics and Political Science, vol. 61(242), pages 191-211, May.
  2. repec:ese:iserwp:97-19 is not listed on IDEAS
  3. Vella, F., 1991. "Gender Roles, Occupational Choice and Gender Wage Differentials," Papers, Australian National University - Department of Economics 235, Australian National University - Department of Economics.
  4. 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, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
  5. Clark, Andrew E. & Oswald, Andrew J., 1994. "Satisfaction and comparison income," CEPREMAP Working Papers (Couverture Orange) 9408, CEPREMAP.
  6. J. A. Hausman, 1976. "Specification Tests in Econometrics," Working papers, Massachusetts Institute of Technology (MIT), Department of Economics 185, Massachusetts Institute of Technology (MIT), Department of Economics.
  7. Rummery, Sarah, 1992. "The Contribution of Intermittent Labour Force Participation to the Gender Wage Differential," The Economic Record, The Economic Society of Australia, The Economic Society of Australia, vol. 68(203), pages 351-64, December.
  8. 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.
  9. Polachek, Solomon W. & Kim, Moon-Kak, 1994. "Panel estimates of the gender earnings gap : Individual-specific intercept and individual-specific slope models," Journal of Econometrics, Elsevier, Elsevier, vol. 61(1), pages 23-42, March.
  10. Susan Harkness, 1996. "The gender earnings gap: evidence from the UK," Fiscal Studies, Institute for Fiscal Studies, Institute for Fiscal Studies, vol. 17(2), pages 1-36, May.
  11. Randall K. Filer, 1983. "Sexual Differences in Earnings: The Role of Individual Personalities and Tastes," Journal of Human Resources, University of Wisconsin Press, vol. 18(1), pages 82-99.
  12. repec:ese:iserwp:97-17 is not listed on IDEAS
  13. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, Elsevier, vol. 61(1), pages 5-21, March.
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Citations

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Cited by:
  1. Blackaby, David & Booth, Alison L & Frank, Jeff, 2002. "Outside Offers and the Gender Pay Gap: Empirical Evidence from the UK," CEPR Discussion Papers, C.E.P.R. Discussion Papers 3549, C.E.P.R. Discussion Papers.
  2. Alan Manning & Joanna Swaffield, 2005. "The Gender Gap in Early Career Wage Growth," CEP Discussion Papers, Centre for Economic Performance, LSE dp0700, Centre for Economic Performance, LSE.
  3. Karen Mumford & Peter N Smith, . "The Gender Earnings Gap in Britain," Discussion Papers, Department of Economics, University of York 04/05, Department of Economics, University of York.
  4. McNabb, Robert & Wass, Victoria, 2006. "Male-female earnings differentials among lawyers in Britain: a legacy of the law or a current practice?," Labour Economics, Elsevier, Elsevier, vol. 13(2), pages 219-235, April.
  5. Michal Myck & Gillian Paull, 2004. "The role of employment experience in explaining the gender wage gap," IFS Working Papers, Institute for Fiscal Studies W04/16, Institute for Fiscal Studies.
  6. Almeida-Santos, Filipe & Mumford, Karen A., 2006. "Employee Training, Wage Dispersion and Equality in Britain," IZA Discussion Papers 2276, Institute for the Study of Labor (IZA).
  7. Giovanni Russo & Wolter Hassink, 2008. "The Part-Time Wage Gap: a Career Perspective," De Economist, Springer, Springer, vol. 156(2), pages 145-174, June.
  8. David Campbell, 2002. "Interrupted Work Careers and the Starting Salaries of Female Workers in Britain," Studies in Economics, Department of Economics, University of Kent 0204, Department of Economics, University of Kent.
  9. Muhamad Purnagunawan, 2008. "Earning Motivation and The Conventional Earning Function," Working Papers in Economics and Development Studies (WoPEDS), Department of Economics, Padjadjaran University 200805, Department of Economics, Padjadjaran University, revised Sep 2008.

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