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Wage Differences Between Men and Women in Austria: Evidence from 1983 and 1997

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Author Info
Böheim, René () (University of Linz and IZA Bonn)
Hofer, Helmut (Institute for Advanced Studies, Vienna)
Zulehner, Christine (University of Vienna)

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Abstract

In most OECD countries the wage gap between men and women has declined during the past two decades. Developments of the last 20 years, e.g. increased labour market attachment of women, changes in the bargaining structure, and the introduction of equal pay laws, may have reduced the gender wage gap. We investigate the extent, persistence, and socio-economic determinants of the gender wage gap in Austria, for the years 1983 and 1997. Using wage decomposition techniques, we find that the average gender wage gap was almost as high in 1997 as it was in 1983. Not accounting for differences, the gender wage gap dropped from 25.5 to 23.3 per cent. Taking observable differences between men and women into account, we estimate that the mean gender wage gap which cannot be explained, i.e. discrimination against women, dropped from 18 to 15.5 per cent of men’s wages. The drop in discrimination is the main reason for the narrowing of the gender wage gap.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1554.

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Length: 23 pages
Date of creation: Mar 2005
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Handle: RePEc:iza:izadps:dp1554

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Related research
Keywords: wage differentials; wage inequality; decomposition;

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Find related papers by JEL classification:
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
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  1. Weichselbaumer, Doris & Winter-Ebmer, Rudolf, 2003. "A Meta-Analysis of the International Gender Wage Gap," CEPR Discussion Papers 4127, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  2. Kimberly Bayard & Judith Hellerstein & David Neumark & Kenneth Troske, 1999. "New Evidence on Sex Segregation and Sex Differences in Wages from Matched Employee-Employer Data," NBER Working Papers 7003, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  3. 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)
  4. John M. McDowell & Larry D. Singell Jr. & James P. Ziliak, 1999. "Cracks in the Glass Ceiling: Gender and Promotion in the Economics Profession," American Economic Review, American Economic Association, vol. 89(2), pages 392-396, May. [Downloadable!] (restricted)
  5. Fortin, N.M. & Lemieux, T., 1996. "Rank Regressions, Wage Distributions and the Gender Gap," Cahiers de recherche 9607, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
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  6. 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, vol. 14(3), pages 693-709, October. [Downloadable!] (restricted)
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  7. Zweimuller, J & Winter-Ebmer, R, 1994. "Gender Wage Differentials in Private and Public Sector Jobs," Journal of Population Economics, Springer, vol. 7(3), pages 271-85, July.
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  8. Fersterer, Josef & Winter-Ebmer, Rudolf, 2003. "Are Austrian returns to education falling over time?," Labour Economics, Elsevier, vol. 10(1), pages 73-89, February. [Downloadable!] (restricted)
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  9. 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)
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