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Decomposing the Gender Wage Gap Across the Wage Distribution: South Korea in 2003 vs. 2013

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  • Tromp, Nikolas

Abstract

I analyze the gender wage gap in South Korea across the wage distribution in 2003 vs. 2013. Gaps are decomposed into composition and structural effects using a semi-parametric framework. I find a "glass ceiling" effect in both years with larger wage gaps at the upper end of the wage distribution. Decompositions show that the structural effect decreases, and composition effect increases, in importance as we move up the distribution. Between 2003 and 2013, a fall in the composition effect drives the narrowing of the wage gap across the entire distribution. While a fall in the structural effect augments the narrowing at the lower end of the distribution, a rise in the structural effect curtails it at the upper end, maintaining the glass ceiling. Lastly, controlling for occupational choice causes minor increases in the composition effect at the lower end and structural effect at the upper end of the distribution.

Suggested Citation

  • Tromp, Nikolas, 2016. "Decomposing the Gender Wage Gap Across the Wage Distribution: South Korea in 2003 vs. 2013," MPRA Paper 75123, University Library of Munich, Germany, revised 08 Nov 2016.
    • Handle: RePEc:pra:mprapa:75123
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    References listed on IDEAS

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    Cited by:

    1. Avinno Faruk, 2021. "Analysing the glass ceiling and sticky floor effects in Bangladesh: evidence, extent and elements," SN Business & Economics, Springer, vol. 1(9), pages 1-23, September.
    2. Mustafizur Rahman & Md. Al-Hasan, 2019. "Male–Female Wage Gap and Informal Employment in Bangladesh: A Quantile Regression Approach," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 20(1), pages 106-123, March.
    3. Mustafizur Rahman & Marzuka Md. Al-Hasan, 2019. "Women in Bangladesh Labour Market: Determinants of Participation, Gender Wage Gap and Returns to Schooling," CPD Working Paper 124, Centre for Policy Dialogue (CPD).
    4. Rahman, Mustafizur & Al-Hasan, Md., 2018. "Male-Female wage gap and informal employment in Bangladesh: A quantile regression approach," MPRA Paper 90131, University Library of Munich, Germany.

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    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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