Earning Inequalities Between and Within Nests: A Multilevel Modeling Approach Applied to the Case of France
AbstractThis paper presents a simultaneously study of the impact of gender and localization inequalities on the earnings of under-graduates. Using multilevel modeling, the framework draws both individual-level (i.e., pertaining to the individual elements of groups) and aggregate-level (i.e., pertaining to the group as a whole) data under a single specification, in order to study their potential interactions. These inequalities are studied with respect to young workers who left higher education in 2004 and who had a full-time job in the private sector three years after graduation (i.e., in 2007). To take into account the process of selection for employment, our multilevel model uses the Heckman two-step procedure. Following this approach, Occupational Groups (OG) are found to capture 59.4% of the earning heterogeneity whereas Employment Area (EA) nests capture 7.6%. This 59.4% figure is explained by two phenomena: (i) OG are dominated by seniors, and (ii) OG are dominated by males with higher earnings. These group characteristics also influence gender inequalities: there is a higher wage penalty for females in (i) OG dominated by males, and (ii) OG dominated by senior workers. In contrast to the gender gap, immigrant inequalities manifest closer links to EA. Policy implications are derived from our results.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS in its series Economics Working Paper Archive (University of Rennes 1 & University of Caen) with number 201118.
Date of creation: Oct 2011
Date of revision:
Contact details of provider:
Postal: CREM (UMR CNRS 6211) – Faculty of Economics, 7 place Hoche, 35065 RENNES Cedex
Phone: 02 23 23 35 47
Fax: (33) 2 23 23 35 99
Web page: http://crem.univ-rennes1.fr/
More information through EDIRC
Postal: CREM (UMR CNRS 6211) - Faculty of Economics, 7 place Hoche, 35065 Rennes Cedex - France
Find related papers by JEL classification:
- I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-10-15 (All new papers)
- NEP-LAB-2011-10-15 (Labour Economics)
- NEP-LMA-2011-10-15 (Labor Markets - Supply, Demand, & Wages)
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.:
- Aubert Patrick & Caroli Eve & Roger Muriel, 2005.
"New Technologies, Workplace Organisation and the Age Structure of the Workforce: Firm-Level Evidence,"
Research Unit Working Papers
0505, Laboratoire d'Economie Appliquee, INRA.
- P. Aubert & E. Caroli & M. Roger, 2004. "New Technologies, Workplace Organisation and the Age Structure of the Workforce: Firm-Level Evidence," Documents de Travail de la DESE - Working Papers of the DESE g2004-07, Institut National de la Statistique et des Etudes Economiques, DESE.
- Patrick Aubert & Eve Caroli & Muriel Roger, 2005. "New technologies, workplace organisation and the age structure of the workforce: Firm-level evidence," PSE Working Papers halshs-00590805, HAL.
- Joseph G. Altonji & Rebecca M. Blank, .
"Race and Gender in the Labor Market,"
IPR working papers
98-18, Institute for Policy Resarch at Northwestern University.
- Nabanita Datta Gupta & Donna S. Rothstein, 2005.
"The Impact of Worker and Establishment-level Characteristics on Male-Female Wage Differentials: Evidence from Danish Matched Employee-Employer Data,"
CEIS, vol. 19(1), pages 1-34, 03.
- Gubta, Nabanita Datta & Rothstein, Donna S., 2001. "The Impact of Worker and Establishment-level Characteristics on Male-Female Wage Differentials: Evidence from Danish Matched Employee-Employer Data," CLS Working Papers 01-9, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
- Erica L. Groshen, 1987.
"The structure of the female/male wage differential: is it who you are, what you do, or where you work?,"
8708, Federal Reserve Bank of Cleveland.
- Erica L. Groshen, 1991. "The Structure of the Female/Male Wage Differential: Is It Who You Are, What You Do, or Where You Work?," Journal of Human Resources, University of Wisconsin Press, vol. 26(3), pages 457-472.
- Manon Domingues Dos Santos & Yannick L’Horty & Elisabeth TOVAR, 2010. "Une introduction," Revue d'économie régionale et urbaine, Armand Colin, vol. 0(1), pages 4-25.
- Patrick Sillard & Roland Rathelot, 2008. "Zones Franches Urbaines : quels effets sur l'emploi salarié et les créations d'établissements ?," Économie et Statistique, Programme National Persée, vol. 415(1), pages 81-96.
- Barros, Carlos P. & Guironnet, Jean-Pascal & Peypoch, Nicolas, 2011.
"Productivity growth and biased technical change in French higher education,"
Elsevier, vol. 28(1), pages 641-646.
- Barros, Carlos P. & Guironnet, Jean-Pascal & Peypoch, Nicolas, 2011. "Productivity growth and biased technical change in French higher education," Economic Modelling, Elsevier, vol. 28(1-2), pages 641-646, January.
- Roy J. & Lin X., 2002. "Analysis of Multivariate Longitudinal Outcomes With Nonignorable Dropouts and Missing Covariates: Changes in Methadone Treatment Practices," Journal of the American Statistical Association, American Statistical Association, vol. 97, pages 40-52, March.
- Anthony Recchia, . "R-Squared Measures for Two-Level Hierarchical Linear Models Using SAS," Journal of Statistical Software, American Statistical Association, vol. 32(c02).
- Guironnet, J.-P. & Peypoch, N., 2007. "Human capital allocation and overeducation: A measure of French productivity (1987, 1999)," Economic Modelling, Elsevier, vol. 24(3), pages 398-410, May.
- A. R. Cardoso, 2000. "Wage differentials across firms: an application of multilevel modelling," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(4), pages 343-354.
- Frederiksen, Anders, 2006.
"Gender Differences in Job Separation Rates and Employment Stability: New Evidence from Employer-Employee Data,"
IZA Discussion Papers
2147, Institute for the Study of Labor (IZA).
- Frederiksen, Anders, 2008. "Gender differences in job separation rates and employment stability: New evidence from employer-employee data," Labour Economics, Elsevier, vol. 15(5), pages 915-937, October.
- Carlos Barros & Jean-Pascal Guironnet & Nicolas Peypoch, 2011. "How to quickly get a job? The transition from higher education to French labour market by a survival model," Applied Economics, Taylor & Francis Journals, vol. 43(4), pages 439-448.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CODA-POIREY Hélène).
If references are entirely missing, you can add them using this form.