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Top Earnings Inequality and the Gender Pay Gap: Canada, Sweden and the United Kingdom

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  • Fortin, Nicole M.

    () (University of British Columbia, Vancouver)

  • Bell, Brian

    () (King's College London)

  • Böhm, Michael Johannes

    () (University of Bonn)

Abstract

This paper explores the consequences of the under-representation of women in top jobs for the overall gender pay gap. Using administrative annual earnings data from Canada, Sweden, and the United Kingdom, it applies the approach used in the analysis of earnings inequality in top incomes, as well as reweighting techniques, to the analysis of the gender pay gap. The analysis is supplemented by classic O-B decompositions of hourly wages using data from the Canadian and U.K. Labour Force Surveys. The paper finds that recent increases in top earnings led to substantial "swimming upstream" effects, therefore accounting for differential progress in the gender pay gap across time periods and a growing share of the gap unexplained by traditional factors.

Suggested Citation

  • Fortin, Nicole M. & Bell, Brian & Böhm, Michael Johannes, 2017. "Top Earnings Inequality and the Gender Pay Gap: Canada, Sweden and the United Kingdom," IZA Discussion Papers 10829, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp10829
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    Keywords

    top incomes; earnings inequality; gender pay gap;

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J70 - Labor and Demographic Economics - - Labor Discrimination - - - General

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