Inequality-Adjusted Gender Wage Differentials in Germany

Ekaterina Selezneva and Philippe Van Kerm

No 579, SOEPpapers on Multidisciplinary Panel Data Research from DIW Berlin, The German Socio-Economic Panel (SOEP)

Abstract: This paper exploits data from the German Socio-Economic Panel (SOEP) to re-examine the gender wage gap in Germany on the basis of inequality-adjusted measures of wage differentials which fully account for gender differences in pay distributions. The inequality-adjusted gender pay gap measures are significantly larger than suggested by standard indicators, especially in East Germany. Women appear penalized twice, with both lower mean wages and greater wage inequality. A hypothetical risky investment question collected in 2004 in the SOEP is used to estimate individual risk aversion parameters and benchmark the ranges of inequality-adjusted wage differentials measures.

Keywords: Gender gap; wage differentials; wage inequality; expected utility; risk aversion; East and West Germany; SOEP; Singh-Maddala distribution; copula-based selection model (search for similar items in EconPapers)
JEL-codes: D63 J31 J70 (search for similar items in EconPapers)
Pages: 23 p.
Date: 2013
New Economics Papers: this item is included in nep-dem, nep-eur, nep-lab, nep-lma, nep-ltv and nep-upt
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https://www.diw.de/documents/publikationen/73/diw_01.c.426597.de/diw_sp0579.pdf (application/pdf)

Related works:
Working Paper: Inequality-adjusted gender wage differentials in Germany (2013)
Working Paper: Inequality-adjusted gender wage differentials in Germany (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:diw:diwsop:diw_sp579

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