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The Part-Time Penalty for Natives and Immigrants

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  • Wahlberg, Roger

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

This study examines the part-time penalty for natives and immigrants in Sweden. We estimate an endogenous switching regression model, and the results indicate that there is evidence of self-selection into part-time and full-time jobs based on unobservable factors. Hence, individuals with full-time (part-time) jobs have unobserved characteristics that allow them to earn more (less) than average workers with full-time (part-time) jobs. We find that the adjusted part-time wage penalties are 20.9 percent for native males, 25.1 percent for immigrant men, 13.8 percent for native women, and 15.4 percent for immigrant women.

Suggested Citation

  • Wahlberg, Roger, 2008. "The Part-Time Penalty for Natives and Immigrants," Working Papers in Economics 314, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0314
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    File URL: http://hdl.handle.net/2077/17894
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    References listed on IDEAS

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    1. Inés Hardoy & Pål Schøne, 2006. "The Part‐Time Wage Gap in Norway: How Large is It Really?," British Journal of Industrial Relations, London School of Economics, vol. 44(2), pages 263-282, June.
    2. Síle O'Dorchai & Robert Plasman & François Rycx, 2007. "The part‐time wage penalty in European countries: how large is it for men?," International Journal of Manpower, Emerald Group Publishing Limited, vol. 28(7), pages 571-603, October.
    3. Alan Manning & Barbara Petrongolo, 2008. "The Part-Time Pay Penalty for Women in Britain," Economic Journal, Royal Economic Society, vol. 118(526), pages 28-51, February.
    4. Halvorsen, Robert & Palmquist, Raymond, 1980. "The Interpretation of Dummy Variables in Semilogarithmic Equations," American Economic Review, American Economic Association, vol. 70(3), pages 474-475, June.
    5. Adamchik, Vera A. & Bedi, Arjun S., 2000. "Wage differentials between the public and the private sectors: evidence from an economy in transition," Labour Economics, Elsevier, vol. 7(2), pages 203-224, March.
    6. repec:bla:econom:v:50:y:1983:i:198:p:111-25 is not listed on IDEAS
    7. Michael Lokshin & Zurab Sajaia, 2004. "Maximum likelihood estimation of endogenous switching regression models," Stata Journal, StataCorp LP, vol. 4(3), pages 282-289, September.
    8. Barry T. Hirsch, 2005. "Why Do Part-Time Workers Earn Less? The Role of Worker and Job Skills," ILR Review, Cornell University, ILR School, vol. 58(4), pages 525-551, July.
    9. Lee, Lung-Fei, 1978. "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 415-433, June.
    10. van der Gaag, Jacques & Vijverberg, Wim, 1988. "A Switching Regression Model for Wage Determinants in the Public and Private Sectors of a Developing Country," The Review of Economics and Statistics, MIT Press, vol. 70(2), pages 244-252, May.
    11. Síle O'Dorchai & Robert Plasman & François Rycx, 2007. "The part-time wage penalty in European countries: how large is it for men?," International Journal of Manpower, Emerald Group Publishing, vol. 28(7), pages 571-603, November.
    12. Joan R. Rodgers, 2004. "Hourly Wages of full-time and part-time employees in Australia," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 7(2), pages 231-254, June.
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    Cited by:

    1. Elke Wolf, 2014. "The German Part-Time Wage Gap: Bad News for Men," SOEPpapers on Multidisciplinary Panel Data Research 663, DIW Berlin, The German Socio-Economic Panel (SOEP).
    2. Armbruster, Kathrin & Beckmann, Michael & Kuhn, Dieter, 2012. "Task Allocation and Corporate Performance : is There a First-Mover Advantage?," Working papers 2012/07, Faculty of Business and Economics - University of Basel.
    3. Wolf, Elke, 2013. "The German part-time wage gap: bad news for men," VfS Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 79969, Verein für Socialpolitik / German Economic Association.

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    More about this item

    Keywords

    Part-time penalty; selection bias; natives; immigrants;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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