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When Are ‘Female’ Occupations Paying More?

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Author Info

  • Jurajda, Štepán

    ()
    (CERGE-EI)

  • Harmgart, Heike

    ()
    (Humboldt University Berlin)

Abstract

We compare the importance of occupational gender segregation for the gender wage gap in East and West Germany in 1995 using a sample of social-security wage records of full-time workers. East Germany, which features a somewhat higher degree of occupational segregation, has a gender wage gap on the order of one fifth of the West German gap. Segregation is not related to the West German wage gap, but in East Germany, wages of both men and women are higher in predominantly female occupations. East German female employees apparently have better observable and unobservable characteristics than their male colleagues. These findings are in contrast to a large U.S. literature, but are consistent with the imposition of high wage levels in East Germany at the outset of reforms and the selection of only high-skill women into employment. Finally, conditioning on unobservable labor quality differences using the longitudinal dimension of the data, there is a negligible impact of segregation in both parts of Germany.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 985.

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Length: 38 pages
Date of creation: Jan 2004
Date of revision:
Publication status: published in: Journal of Comparative Economics, 2007, 35 (1), 170-187
Handle: RePEc:iza:izadps:dp985

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Keywords: gender wage gap; occupational segregation;

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References

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  1. Kremer, Michael, 1993. "The O-Ring Theory of Economic Development," The Quarterly Journal of Economics, MIT Press, vol. 108(3), pages 551-75, August.
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  14. Bonin, Holger & Euwals, Rob, 2002. "Participation Behaviour of East German Women After German Unification," CEPR Discussion Papers 3201, C.E.P.R. Discussion Papers.
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  19. Wolf, Elke, 2002. "Lower wage rates for fewer hours? A simultaneous wage-hours model for Germany," Labour Economics, Elsevier, vol. 9(5), pages 643-663, November.
  20. Jurajda, Stepan, 2003. "Gender wage gap and segregation in enterprises and the public sector in late transition countries," Journal of Comparative Economics, Elsevier, vol. 31(2), pages 199-222, June.
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Cited by:
  1. Dennis Görlich & Andries de Grip, 2007. "Human Capital Depreciation During Family-related Career Interruptions in Male and Female Occupations," Kiel Working Papers 1379, Kiel Institute for the World Economy.

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