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Search Intensity and Wage Differences

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Author Info
Tairi Rõõm () (Bank of Estonia)
Abstract

Differences in job search behaviour have long been recognized in theoretical literature as a potential source of wage differentials. The aim of the current paper is to estimate whether there exists a systematic difference in search activity between genders and whether this can explain a part of the gender wage gap. These hypotheses are tested using micro-level data for the years 1998-2000 from the Estonian Labour Force Survey. The empirical model yields a result that unemployed men search more actively for new jobs than women. Controlling for the difference in search intensity significantly reduces the residual gender wage differential.

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Paper provided by Bank of Estonia in its series Bank of Estonia Working Papers with number 2004-1.

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Date of creation: 10 Oct 2004
Date of revision: 12 Oct 2004
Publication status: published
Handle: RePEc:eea:boewps:wp2004-01

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    Other versions:
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  13. Blau, Francine D & Kahn, Lawrence M, 1992. "The Gender Earnings Gap: Learning from International Comparisons," American Economic Review, American Economic Association, vol. 82(2), pages 533-38, May. [Downloadable!] (restricted)
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  15. Amemiya, Takeshi, 1979. "The Estimation of a Simultaneous-Equation Tobit Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 20(1), pages 169-81, February. [Downloadable!] (restricted)
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