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Wage Dispersion, Public Sector Wages and the Stagnating Danish Gender Wage Gap

Author

Listed:
  • Gupta, N.D.
  • Oaxaca, R.L.
  • Smith, N.

Abstract

The Gender wage gap in Denmark has virtually stagnated since the early 1970's. This study examines whether this stagnation is mainly due to a changing wage dispersion or to changing prices on observed and unobserved skills. Since about half of the female labour force is employed in the public sector, the impact of the changing wage structure between the public and private sectors is investigated. The analysis is based on the Juhn-Murphy-Pierce decomposition applied to a pooled wage regression model. The equivalence between the former and the Oaxaca-Ransom generalized wage decomposition is established. These techniques are applied to a sample of Danish wage earners in the period 1983-94. The decomposition results suggest different explanations bethind the stagnation of the gender wage gap in the public and private sectors. The development in average public sector wages is calculated assuming observed and unobserved private sector prices are in effect.

Suggested Citation

  • Gupta, N.D. & Oaxaca, R.L. & Smith, N., 1998. "Wage Dispersion, Public Sector Wages and the Stagnating Danish Gender Wage Gap," Papers 98-18, Centre for Labour Market and Social Research, Danmark-.
  • Handle: RePEc:fth:clmsre:98-18
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    Citations

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    Cited by:

    1. Christopher Bollinger & James P. Ziliak & Kenneth R. Troske, 2011. "Down from the Mountain: Skill Upgrading and Wages in Appalachia," Journal of Labor Economics, University of Chicago Press, vol. 29(4), pages 819-857.
    2. Datta Gupta, Nabanita & Smith, Nina, 2002. "Children and Career Interruptions: The Family Gap in Denmark," Economica, London School of Economics and Political Science, vol. 69(276), pages 609-629, November.
    3. Ortega, Jaime, 2000. "Job Rotation as a Mechanism for Learning," CLS Working Papers 00-4, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
    4. Nabanita Datta Gupta & Donna S. Rothstein, 2005. "The Impact of Worker and Establishment-level Characteristics on Male-Female Wage Differentials: Evidence from Danish Matched Employee-Employer Data," LABOUR, CEIS, vol. 19(1), pages 1-34, March.
    5. Gubta, Nabanita Datta & Oaxaca, Ronald L. & Smith, Nina, 2002. "Swimming Upstream, Floating Downstream: Trends in the U.S. and Danish Gender Wage Gaps," CLS Working Papers 01-6, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
    6. Westergaard-Nielsen, Niels, 2001. "Danish Labour Market Policy: Is it worth it?," CLS Working Papers 01-10, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
    7. Pedersen, Peder J. & Smith, Nina, 2001. "International Migration and Migration policy in Denmark," CLS Working Papers 01-5, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
    8. Dickson Thomas NDAMSA & Aloysius Mom NJONG & Francis Menjo BAYE & Jackson YOUYEM, 2015. "Investigating the role of male advantage and female disadvantage in explaining the discrimination effect of the gender pay gap in the Cameroon labor market. Oaxaca-Ransom decomposition approach," EuroEconomica, Danubius University of Galati, issue 1(34), pages 55-72, May.

    More about this item

    Keywords

    LABOUR MARKET ; PUBLIC SECTOR ; WAGES;

    JEL classification:

    • J70 - Labor and Demographic Economics - - Labor Discrimination - - - General
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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