The Changing Distribution of Male and Female Wages, 1978-2000: Can the Simple Skills Story be Rejected?
AbstractThis Paper attempts to reconcile two apparently contradictory trends in the UK labour market over the 1980s and 1990s. While wage differentials based on observed skill have risen for men, wage differentials between men and women have fallen. If women earn less than men because they are less skilled, then one would expect differences across genders to follow the same trends as differences across skills. The simplest explanation of the data is that the labour market has become more competitive, resulting in a fall in discrimination and an increase in the return to skill. As this explanation is not directly and easily testable, this Paper examines its plausibility by assessing other explanations for these results.
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Bibliographic InfoPaper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 4045.
Date of creation: Sep 2003
Date of revision:
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Find related papers by JEL classification:
- J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
- J70 - Labor and Demographic Economics - - Labor Discrimination - - - General
This paper has been announced in the following NEP Reports:
- NEP-LAB-2003-10-05 (Labour Economics)
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