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New Century, Old Disparities: Gender and Ethnic Wage Gaps in Latin America

  • Nopo, Hugo

    ()

    (Inter-American Development Bank)

  • Atal, Juan Pablo

    ()

    (Inter-American Development Bank)

  • Winder, Natalia

    (Inter-American Development Bank)

This paper surveys gender and ethnic wage gaps in 18 Latin American countries, decomposing differences using matching comparisons as a non-parametric alternative to the Blinder-Oaxaca (BO) decomposition. It is found that men earn 9-27 percent more than women, with high cross-country heterogeneity. The unexplained pay gap is higher among older, informal and self-employed workers and those in small firms. Ethnic wage differences are greater than gender differences, and educational attainment differentials play an important role in explaining the gap. Higher ethnic wage gaps are found among males, single-income generators of households and full-time workers, and in rural areas. An important share of the ethnic wage gap is due to the scarcity of minorities in high-paid positions.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5085.

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Length: 74 pages
Date of creation: Jul 2010
Date of revision:
Publication status: published in: 'New Century, Old Disparities. Gender and Ethnic Earnings Gaps in Latin America and the Caribbean', World Bank Publications, 2012
Handle: RePEc:iza:izadps:dp5085
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