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Gender Wage Differentials in Italy: a Structural Estimation Approach

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  • G. Sulis

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Abstract

This paper studies gender wage differentials by providing a maximum likelihood structural estimation of the frictional parameters of an equilibrium search model with on-the-job search and firm heterogeneity. In a second step, I also consider the role of discrimination. Results indicate higher level of search frictions for women, this result is confirmed by various robustness checks, and by different specification and estimation strategies. I also find that the resulting mapping from productivity to wages for men is highly non linear, while for women it is almost linear. Search, productivity, and discrimination play different roles in shaping the gender differential depending on the specification and estimation of the model.

Suggested Citation

  • G. Sulis, 2007. "Gender Wage Differentials in Italy: a Structural Estimation Approach," Working Paper CRENoS 200715, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
  • Handle: RePEc:cns:cnscwp:200715
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    References listed on IDEAS

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    5. Bontemps, Christian & Robin, Jean-Marc & van den Berg, Gerard J, 2000. "Equilibrium Search with Continuous Productivity Dispersion: Theory and Nonparametric Estimation," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 41(2), pages 305-358, May.
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    Cited by:

    1. Giovanni Sulis, 2011. "What can monopsony explain of the gender wage differential in Italy?," International Journal of Manpower, Emerald Group Publishing, vol. 32(4), pages 446-470, July.
    2. Manuela Deidda & Adriana Di Liberto & Marta Foddi & Giovanni Sulis, 2015. "Employment subsidies, informal economy and women’s transition into work in a depressed area: evidence from a matching approach," IZA Journal of Labor Policy, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-25, December.
    3. Caliendo, Marco & Lee, Wang-Sheng & Mahlstedt, Robert, 2014. "The Gender Wage Gap: Does a Gender Gap in Reservation Wages Play a Part?," IZA Discussion Papers 8305, Institute for the Study of Labor (IZA).

    More about this item

    Keywords

    gender wage differentials; equilibrium search; discrimination;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts

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