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The measurement of gender wage discrimination: The distributional approach revisited

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Author Info
Coral del Río () (Universidade de Vigo (Spain))
Carlos Gradín (Universidade de Vigo (Spain))
Olga Cantó () (Universidade de Vigo (Spain))

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Abstract

This paper presents the advantages of taking into account the distribution of the individual wage gap when analyzing female wage discrimination. The limitations of previous approaches such as the classic Oaxaca-Blinder and the recent distributive proposals using quantile regressions or counterfactual functions are thoroughly discussed. The new methodology presented here relies on Jenkins' (1994) work and proposes the use of poverty and deprivation literature techniques that are directly applicable to the measurement of discrimination. In an empirical application, we quantify the relevance of the glass ceiling and sticky floor phenomena in the Spanish labor market.

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Paper provided by ECINEQ, Society for the Study of Economic Inequality in its series Working Papers with number 25.

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Length: 39 pages
Date of creation: 2006
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Handle: RePEc:inq:inqwps:ecineq2006-25

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Related research
Keywords: children distributive analysis; economics of gender; wage discrimination; glass ceiling; sticky floor.;

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Find related papers by JEL classification:
J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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References listed on IDEAS
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. Jenkins, Stephen P., 1994. "Earnings discrimination measurement : A distributional approach," Journal of Econometrics, Elsevier, vol. 61(1), pages 81-102, March. [Downloadable!] (restricted)
  2. Björn Gustafsson & Shi Li, 2000. "Economic transformation and the gender earnings gap in urban China," Journal of Population Economics, Springer, vol. 13(2), pages 305-329. [Downloadable!] (restricted)
  3. Booth, Alison L. & Francesconi, Marco & Frank, Jeff, 2003. "A sticky floors model of promotion, pay, and gender," European Economic Review, Elsevier, vol. 47(2), pages 295-322, April. [Downloadable!] (restricted)
  4. Francine D. Blau & Lawrence M. Kahn, 2003. "Understanding International Differences in the Gender Pay Gap," Journal of Labor Economics, University of Chicago Press, vol. 21(1), pages 106-144, January. [Downloadable!]
    Other versions:
  5. Christopher J. Gerry & Byung-Yeon Kim & Carmen A Li, 2004. "The gender wage gap and wage arrears in Russia: Evidence from the RLMS," Journal of Population Economics, Springer, vol. 17(2), pages 267-288, 06. [Downloadable!] (restricted)
    Other versions:
  6. Dorothe Bonjour & Michael Gerfin, 2001. "The unequal distribution of unequal pay - An empirical analysis of the gender wage gap in Switzerland," Empirical Economics, Springer, vol. 26(2), pages 407-427. [Downloadable!] (restricted)
    Other versions:
  7. 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)
  8. Donald, Stephen G & Green, David A & Paarsch, Harry J, 2000. "Differences in Wage Distributions between Canada and the United States: An Application of a Flexible Estimator of Distribution Functions in the Presence of Covariates," Review of Economic Studies, Blackwell Publishing, vol. 67(4), pages 609-33, October.
  9. Newell, Andrew & Reilly, Barry, 2001. "The gender pay gap in the transition from communism: some empirical evidence," Economic Systems, Elsevier, vol. 25(4), pages 287-304, December. [Downloadable!] (restricted)
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  10. Barry Reilly, 1999. "The gender pay gap in Russia during the transition, 1992-96," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 7(1), pages 245-264, March. [Downloadable!] (restricted)
  11. Blau, Francine D & Kahn, Lawrence M, 1996. "Wage Structure and Gender Earnings Differentials: An International Comparison," Economica, London School of Economics and Political Science, vol. 63(250), pages S29-62, Suppl.. [Downloadable!] (restricted)
  12. DiNardo, John & Fortin, Nicole M & Lemieux, Thomas, 1996. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," Econometrica, Econometric Society, vol. 64(5), pages 1001-44, September. [Downloadable!] (restricted)
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  13. Zheng, Buhong, 1997. " Aggregate Poverty Measures," Journal of Economic Surveys, Blackwell Publishing, vol. 11(2), pages 123-62, June. [Downloadable!] (restricted)
  14. Albrecht, James W. & van Vuuren, Aico & Vroman, Susan, 2004. "Decomposing the Gender Wage Gap in the Netherlands with Sample Selection Adjustments," IZA Discussion Papers 1400, Institute for the Study of Labor (IZA). [Downloadable!]
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  15. Kevin J Denny; & Colm P Harmon; & Maurice Roche, 1997. "The Distribution of Discrimination in Immigrant Earnings- Evidence from Britain 1974-93," Economics, Finance and Accounting Department Working Paper Series n690897, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
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  16. José Mata & José A. F. Machado, 2005. "Counterfactual decomposition of changes in wage distributions using quantile regression," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 20(4), pages 445-465. [Downloadable!]
  17. James Albrecht & Anders Bjorklund & Susan Vroman, 2003. "Is There a Glass Ceiling in Sweden?," Journal of Labor Economics, University of Chicago Press, vol. 21(1), pages 145-177, January. [Downloadable!]
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  18. Zheng, Buhong, 2000. " Poverty Orderings," Journal of Economic Surveys, Blackwell Publishing, vol. 14(4), pages 427-66, September. [Downloadable!] (restricted)
  19. Juhn, Chinhui & Murphy, Kevin M & Pierce, Brooks, 1993. "Wage Inequality and the Rise in Returns to Skill," Journal of Political Economy, University of Chicago Press, vol. 101(3), pages 410-42, June. [Downloadable!] (restricted)
  20. Sen, Amartya K, 1976. "Poverty: An Ordinal Approach to Measurement," Econometrica, Econometric Society, vol. 44(2), pages 219-31, March. [Downloadable!] (restricted)
  21. José A. F. Machado & José Mata, 2001. "Earning functions in Portugal 1982-1994: Evidence from quantile regressions," Empirical Economics, Springer, vol. 26(1), pages 115-134. [Downloadable!] (restricted)
  22. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-66, May. [Downloadable!] (restricted)
  23. Buchinsky, Moshe, 1994. "Changes in the U.S. Wage Structure 1963-1987: Application of Quantile Regression," Econometrica, Econometric Society, vol. 62(2), pages 405-58, March. [Downloadable!] (restricted)
Full references

Cited by:
(explanations, 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. Tindara ADDABBO & Donata Favaro, 2007. "Education and wage differentials by gender in Italy," CHILD Working Papers wp04_07, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY. [Downloadable!]
    Other versions:
  2. repec:ese:iserwp: is not listed on IDEAS
  3. Van Kerm, Philippe, 2009. "Generalized measures of wage differentials," IRISS Working Paper Series 2009-08, IRISS at CEPS/INSTEAD. [Downloadable!]
  4. Juan Rodríguez, 2008. "Partial equality-of-opportunity orderings," Social Choice and Welfare, Springer, vol. 31(3), pages 435-456, October. [Downloadable!] (restricted)
  5. Carlos Gradín & Coral del Río, 2009. "Gender wage differentials in Spain: a distributional approach by subpopulations," Hacienda Pública Española, IEF, vol. 189(2), pages 9-46, June. [Downloadable!]
  6. Juan Gabriel Rodríguez, 2007. "Partial and complete equality-of-opportunity orderings," Working Papers 70, ECINEQ, Society for the Study of Economic Inequality. [Downloadable!]
  7. Alison L. Booth, 2006. "The Glass Ceiling in Europe: Why Are Women Doing Badly in the Labour Market?," CEPR Discussion Papers 542, Centre for Economic Policy Research, Research School of Social Sciences, Australian National University. [Downloadable!]
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