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Gender wage differences in West Germany: a cohort analysis

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  • Fitzenberger, Bernd
  • Wunderlich, Gaby
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    Abstract

    A comprehensive descriptive analysis of gender wage differences over a long time period is missing for West Germany. Using an empirical approach which takes into account explicitely changes of wage distributions for both males and females as well as life-cycle and birth cohort effects, we go beyond conventional decomposition techniques of the average gender wage gap. The paper provides some stylized facts of the level and dynamics of the gender wage gap from 1975 - 1995. The empirical analysis is based upon the IAB-Beschäftigtenstichprobe. Our findings confirm the importance of distributional effects relating to skill level and employment status. While life-cycle wage growth is in general much lower for females compared to males, comparing their estimated time trends implies that the gender wage gap has narrowed substantially in the lower part of the wage distribution especially for low-and medium-skilled females but much less so in the upper part of the wage distribution. Surprisingly, we do not find any cohort effects for wages of female employees. --

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    Bibliographic Info

    Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 00-48.

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    Date of creation: 2000
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    Handle: RePEc:zbw:zewdip:5332

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    Related research

    Keywords: Gender Wage Gap; Quantile Regression; Cohort Analysis;

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    References

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    1. Fitzenberger, Bernd, 1998. "The moving blocks bootstrap and robust inference for linear least squares and quantile regressions," Journal of Econometrics, Elsevier, vol. 82(2), pages 235-287, February.
    2. Powell, James L., 1986. "Censored regression quantiles," Journal of Econometrics, Elsevier, vol. 32(1), pages 143-155, June.
    3. Jennifer Hunt, 2002. "The Transition in East Germany: When Is a Ten-Point Fall in the Gender Wage Gap Bad News?," Journal of Labor Economics, University of Chicago Press, vol. 20(1), pages 148-169, January.
    4. 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..
    5. Lauer, Charlotte, 2000. "Gender wage gap in West Germany: how far do gender differences in human capital matter?," ZEW Discussion Papers 00-07, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    6. Boockmann, Bernhard & Steiner, Viktor, 2000. "Cohort effects and the returns to education in West Germany," ZEW Discussion Papers 00-05, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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    Cited by:
    1. Fitzenberger, Bernd & Schnabel, Reinhold & Wunderlich, Gaby, 2001. "The gender gap in labor market participation and employment: a cohort analysis for West Germany," ZEW Discussion Papers 01-47, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    2. Beblo, Miriam & Wolf, Elke, 2002. "Wage Penalties for Career Interruptions: An Empirical Analysis for West Germany," ZEW Discussion Papers 02-45, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    3. Heinze, Anja & Wolf, Elke, 2006. "Gender Earnings Gap in German Firms: The Impact of Firm Characteristics and Institutions," ZEW Discussion Papers 06-20, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    4. Fitzenberger, Bernd & Wunderlich, Gaby, 2001. "The changing gender gap across the wage distribution in the UK," ZEW Discussion Papers 01-56, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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