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The gender income gap and the influence of family formation reconsidered

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  • Ochsenfeld, Fabian
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    Abstract

    In her recent study Bobbitt-Zeher (2007) takes on the important task of identifying the contribution of educational factors relative to non-educational factors in the making of the gender income gap among the college-educated and finds that “family formation has virtually no effect on the income gap” (Ibid.:13). In this methodological comment we argue that she was led to this conclusion prematurely because her analysis falls short in several respects. We explicate the problems, delineate alternatives and replicate her analysis with similar German data. We find that each of the shortcomings leads to negative bias concerning the influence of family formation. Our results show that family formation is likely to be the single most important factor in the explanation of the income gap.

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    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 43205.

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    Date of creation: 26 Jun 2012
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    Handle: RePEc:pra:mprapa:43205

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    Keywords: gender inequality; motherhood penalty; discrimination; regression analysis; decomposition;

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    1. Ben Jann, 2008. "The Blinder–Oaxaca decomposition for linear regression models," Stata Journal, StataCorp LP, StataCorp LP, vol. 8(4), pages 453-479, December.
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