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Wage Dispersion, Public Sector Wages and the Stagnating Danish Gender Wage Gap

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Author Info

  • Gupta, N.D.
  • Oaxaca, R.L.
  • Smith, N.

Abstract

The Gender wage gap in Denmark has virtually stagnated since the early 1970's. This study examines whether this stagnation is mainly due to a changing wage dispersion or to changing prices on observed and unobserved skills. Since about half of the female labour force is employed in the public sector, the impact of the changing wage structure between the public and private sectors is investigated. The analysis is based on the Juhn-Murphy-Pierce decomposition applied to a pooled wage regression model. The equivalence between the former and the Oaxaca-Ransom generalized wage decomposition is established. These techniques are applied to a sample of Danish wage earners in the period 1983-94. The decomposition results suggest different explanations bethind the stagnation of the gender wage gap in the public and private sectors. The development in average public sector wages is calculated assuming observed and unobserved private sector prices are in effect.

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Bibliographic Info

Paper provided by Centre for Labour Market and Social Research, Danmark- in its series Papers with number 98-18.

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Length: 43 pages
Date of creation: 1998
Date of revision:
Handle: RePEc:fth:clmsre:98-18

Contact details of provider:
Postal: Danmark; Centre for Labour Market and Social Research. Science Park Aarhus Wieds Vej 10C, 8000 Aarhus C, Danmark
Phone: +45 8942 2350
Fax: +45 8942 2365
Email:
Web page: http://www.cls.dk/
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Keywords: LABOUR MARKET ; PUBLIC SECTOR ; WAGES;

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Cited by:
  1. Gubta, Nabanita Datta & Rothstein, Donna S., 2001. "The Impact of Worker and Establishment-level Characteristics on Male-Female Wage Differentials: Evidence from Danish Matched Employee-Employer Data," CLS Working Papers 01-9, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  2. Pedersen, Peder J. & Smith, Nina, 2001. "International Migration and Migration policy in Denmark," CLS Working Papers 01-5, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  3. Datta Gupta, Nabanita & Smith, Nina, 2001. "Children and Career Interruptions: The Family Gap in Denmark," IZA Discussion Papers 263, Institute for the Study of Labor (IZA).
  4. Datta Gupta, Nabanita & Smith, Nina, 2002. "Children and Career Interruptions: The Family Gap in Denmark," Economica, London School of Economics and Political Science, vol. 69(276), pages 609-29, November.
  5. Gubta, Nabanita Datta & Oaxaca, Ronald L. & Smith, Nina, 2002. "Swimming Upstream, Floating Downstream: Trends in the U.S. and Danish Gender Wage Gaps," CLS Working Papers 01-6, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  6. Westergaard-Nielsen, Niels, 2001. "Danish Labour Market Policy: Is it worth it?," CLS Working Papers 01-10, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
  7. Ortega, J., 2000. "Job Rotation as a Mechanism for Learning," Papers 00-04, Centre for Labour Market and Social Research, Danmark-.

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