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The Gender Wage Gap in Paid‐ and Self‐Employment in Australia

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  • Kristy Eastough
  • Paul W. Miller

Abstract

This paper presents an analysis of the gender wage gap in the highly regulated Australian labour market. It compares wage outcomes in the wage and salary sector with those for the self‐employed. Comparisons with the United States are provided. The large gender pay gap in self‐employment suggests that the aggregate gender wage differential will not be eliminated solely through wage determination for wage and salary earners. The greater gender wage gap in the self‐employed sector may reflect liquidity constraints that are more difficult for self‐employed women to overcome relative to self‐employed men. The comparisons with the United States suggest that women will experience deterioration in relative earnings as the Australian labour market is deregulated.

Suggested Citation

  • Kristy Eastough & Paul W. Miller, 2004. "The Gender Wage Gap in Paid‐ and Self‐Employment in Australia," Australian Economic Papers, Wiley Blackwell, vol. 43(3), pages 257-276, September.
  • Handle: RePEc:bla:ausecp:v:43:y:2004:i:3:p:257-276
    DOI: 10.1111/j.1467-8454.2004.00229.x
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    3. Nicholas Biddle, 2013. "Comparing Self Perceived and Observed Labour Market Discrimination in Australia," Economic Papers, The Economic Society of Australia, vol. 32(3), pages 383-394, September.
    4. Andersson Joona, Pernilla & Wadensjö, Eskil, 2008. "A Gender Perspective on Self-Employment Entry and Performance as Self-Employed," IZA Discussion Papers 3581, Institute of Labor Economics (IZA).
    5. Alison L. Booth & Hiau Joo Kee, 2011. "A Long‐Run View Of The University Gender Gap In Australia," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 51(3), pages 254-276, November.
    6. Susan McGrath-Champ & Therese Jefferson, 2013. "Gender and pay equity in a global knowledge organisation," The Economic and Labour Relations Review, , vol. 24(1), pages 97-123, March.
    7. Siri Terjesen & Val Singh, 2008. "Female Presence on Corporate Boards: A Multi-Country Study of Environmental Context," Journal of Business Ethics, Springer, vol. 83(1), pages 55-63, November.
    8. Lechmann, Daniel S. J. & Schnabel, Claus, 2012. "What explains the gender earnings gap in self-employment? A decomposition analysis with German data," Discussion Papers 77, Friedrich-Alexander University Erlangen-Nuremberg, Chair of Labour and Regional Economics.
    9. David W. Johnston & Wang-Sheng Lee, 2012. "Climbing the Job Ladder: New Evidence of Gender Inequity," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 51(1), pages 129-151, January.
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    11. Elisa Birch, 2014. "The Determinants of Earnings for Indigenous Australian Workers," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 17(3), pages 211-232.

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