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The Evolution of the Early Career Gender Wage Gap

  • Kunze, Astrid

In this Paper we investigate the male-female wage differential: Does it evolve over the early career or does it exist right from entry into first employment onwards? For the analysis we use new administrative longitudinal data and focus on the early careers of skilled workers in Germany. We adopt a simple human capital theory approach. Advantages of the data for this type of analysis are that we can observe complete work and wage histories, and that we are also able to observe workers' skills. Regarding entry wages we find a gap of approximately 25%. For the early career, ie up to eight years of work experience, the differential remains almost constant at this high level. We find that differences in apprenticeship training explain the main part of this gap and seem to lead to a permanent wage disadvantage throughout the early career.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 3242.

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Date of creation: Mar 2002
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Handle: RePEc:cpr:ceprdp:3242
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  1. Francine D. Blau & Lawrence M. Kahn, 1992. "The Gender Earnings Gap: Some International Evidence," NBER Working Papers 4224, National Bureau of Economic Research, Inc.
  2. Christian Dustmann & Costas Meghir, 2001. "Wages, experience and seniority," IFS Working Papers W01/01, Institute for Fiscal Studies.
  3. Erica L. Groshen, 1987. "The structure of the female/male wage differential: is it who you are, what you do, or where you work?," Working Paper 8708, Federal Reserve Bank of Cleveland.
  4. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
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