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The Gender Wage Gap in Portugal: Recent Evolution and Decomposition

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Author Info
Pilar González () (CETE, Faculdade de Economia, Universidade do Porto)
Maria Clementina Santos () (CETE, Faculdade de Economia, Universidade do Porto)
Luís Delfim Santos () (CEMPRE, Faculdade de Economia, Universidade do Porto)
Abstract

Using data from the Personnel Records (Quadros de Pessoal) for the period 1985-2000, we analyse the gender wage gap in Portugal. We estimate wage discrimination and endowment differentials using four decomposition methods. Our main concern is to analyse the key factors that lie behind the persistent gender pay gap despite the deep changes that characterise the recent evolution of the Portuguese labour market and the high female participation rate that exists in the country. Moreover, using the Neumark methodology, we discuss the relative contribution of different factors in explaining the gender pay gap. The results suggest that, in accordance with previous international research, the measured discrimination differential dominates the estimated endowment differential. Over time, a relevant discrimination gap persisted and it didn’t show any tendency to decrease. Results are also consistent in showing that the most important difference in attributes to explain the gender pay gap is the way how males and females are distributed by sector of industry. As to human capital variables, their relative importance to the explanation of the gender pay gap has reduced sharply, particularly along the 90’s.

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Paper provided by Universidade do Porto, Faculdade de Economia do Porto in its series CETE Discussion Papers with number 0505.

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Length: 22 pages
Date of creation: Oct 2005
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Handle: RePEc:por:cetedp:0505

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Related research
Keywords: Labour market; discrimination; wage differential; gender;

Find related papers by JEL classification:
J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General

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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. Ronald Oaxaca, . "Male-Female Wage Differentials in Urban Labor Markets," Working Papers 396, Princeton University, Department of Economics, Industrial Relations Section.. [Downloadable!]
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  2. Anne Plasman & Robert Plasman & Michael Rusinek & François Rycx, 2002. "Indicators on Gender Pay Equality," Brussels Economic Review/Cahiers Economiques de Bruxelles, Editions du DULBEA, Université libre de Bruxelles, Department of Applied Economics (DULBEA), vol. 45(2), pages 11-40.
  3. George E. Johnson & Gary Solon, 1984. "Pay Differences Between Women's and Men's Jobs: The Empirical Foundations of Comparable Worth Legislation," NBER Working Papers 1472, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. Kiker, B. F. & Santos, Maria C., 1991. "Human capital and earnings in Portugal," Economics of Education Review, Elsevier, vol. 10(3), pages 187-203, September. [Downloadable!] (restricted)
  5. 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)
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  6. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, vol. 61(1), pages 5-21, March. [Downloadable!] (restricted)
  7. David Neumark, 1987. "Employers' discriminatory behavior and the estimation of wage discrimination," Special Studies Papers 227, Board of Governors of the Federal Reserve System (U.S.).
  8. Johnson, George & Solon, Gary, 1986. "Estimates of the Direct Effects of Comparable Worth Policy," American Economic Review, American Economic Association, vol. 76(5), pages 1117-25, December. [Downloadable!] (restricted)
  9. Cabral Vieira, José A. & Cardoso, Ana Rute & Portela, Miguel, 2003. "Recruitment and Pay at the Establishment Level: Gender Segregation and the Wage Gap in Portugal," IZA Discussion Papers 789, Institute for the Study of Labor (IZA). [Downloadable!]
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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. Luís Delfim Santos & José Varejão, 2006. "Employment, Pay and Discrimination in the Tourism Industry," FEP Working Papers 205, Universidade do Porto, Faculdade de Economia do Porto. [Downloadable!]
  2. Pilar González & Maria Clementina Santos & Luís Delfim Santos, 2007. "Education and Gender Wage Differentials in Portugal: What Can We Learn From an Age Cohort Analysis?," CETE Discussion Papers 0701, Universidade do Porto, Faculdade de Economia do Porto. [Downloadable!]
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