Measuring Selectivity-Corrected Gender Wage Gaps in the EU

Anja Heinze, Denis Beninger, Miriam Beblo and Francois Laisney

No 03-74, ZEW Discussion Papers from ZEW - Leibniz Centre for European Economic Research

Abstract: We investigate different techniques to assess the gender pay gap in five EU countries (France, Germany, Italy, Spain and United Kingdom), focusing on self-selection into market work. Results show that selectivity correction has an impact on both wage estimates and wage gap decomposition. If there is a positive correlation between the wage and the propensity to participate, the estimated pay gap understates the true difference in earnings when self-selection is ignored. The estimated pay gap differs considerably at different quantiles of the wage distribution, and is sensitive to the choice of estimator.

JEL-codes: J16 J31 (search for similar items in EconPapers)
Date: 2003
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Citations: View citations in EconPapers (51)

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Persistent link: https://EconPapers.repec.org/RePEc:zbw:zewdip:1684

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