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The gender wage gap in Myanmar: Adding insult to injury?

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  • Hansen, Henrik
  • Rand, John
  • Win, Ngu Wah

Abstract

Using two surveys from 2017, we analyze the gender wage gap for urban workers in Myanmar. We start from a standard wage equation and condition on education, experience, health and a small set of household demographic attributes. Subsequently we control for differences in occupational choice and sector of employment. We estimate the models with sample selection correction and this leads to estimated average wage offers that are lower than the observed average wages for women. Selection into wage work results in a workforce where female wage-workers have higher levels of education compared to their male counterparts. However, average wages for female workers continue to be 29% lower than male average wages. Differences in observable attributes do not account for this gap. Instead, it is associated with a lower base wage and lower remuneration of women’s experience. Going beyond the traditional decomposition methods, we utilize our matched employer–employee survey to generate exact comparisons of female and male production workers with equal levels of education and experience, employed in the same enterprises. Even in this setting, we find a gender wage gap of 13%. Our analysis thus indicates discrimination against women in Myanmar’s labor markets.

Suggested Citation

  • Hansen, Henrik & Rand, John & Win, Ngu Wah, 2022. "The gender wage gap in Myanmar: Adding insult to injury?," Journal of Asian Economics, Elsevier, vol. 81(C).
  • Handle: RePEc:eee:asieco:v:81:y:2022:i:c:s1049007822000677
    DOI: 10.1016/j.asieco.2022.101511
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    Cited by:

    1. Henrik Hansen & S. Kanay De & John Rand & Neda Trifković, 2023. "Wage returns to workplace training in Myanmar," Development Policy Review, Overseas Development Institute, vol. 41(2), March.
    2. Henrik Hansen & S Kanayade & John Rand & Neda Trifkovic, 2021. "Workplace training in Myanmar: Determinants and wage returns," DERG working paper series 21-10, University of Copenhagen. Department of Economics. Development Economics Research Group (DERG).
    3. Paolo Falco & Henrik Hansen & John Rand & Finn Tarp & Neda Trifković, 2021. "Good business practices improve productivity in Myanmar's manufacturing sector: Evidence from two matched employer-employee surveys," WIDER Working Paper Series wp-2021-45, World Institute for Development Economic Research (UNU-WIDER).

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    More about this item

    Keywords

    Discrimination; Gender difference; Labor market; Mincer earnings function; Myanmar; Wage;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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