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Gender Wage Gap: Discrimination or Different Preferences of Men and Women? A Case Study of Ostrava, Czech Republic

Zuzana Machová and Lenka Filipová ()
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Zuzana Machová: Faculty of Economics, VSB – Technical University of Ostrava, Ostrava, Czech Republic

International Journal of Information Systems and Social Change (IJISSC), 2013, vol. 4, issue 1, 53-67

Abstract: This paper was written as a part of a research project studying problem of wage determinant measuring and wage discrimination considering different wage requirements of men and women. The wage determinants and gender wage discrimination are analyzed using a probit model. The whole analysis is methodologically based on Mincer’s Wage Regression and Oaxaca-Blinder decomposition of gender wage gap. The wage variables include, aside from standard personal characteristics, dummies for institutional and firm characteristics and dummies for family status and family roles. The data were gained by a questionnaire survey carried out in Ostrava city. The results of the analysis, representative for the city, show statistically significant differences between wage determinants of men and women. The survey concluded in 2 statements: (1) family role is an important wage determinant and its inclusion to Mincer’s Wage Regression leads to better explanation of wages; and (2) including family characteristics in Oaxaca-Blinder decomposition can significantly reduce unexplained part of gender wage gap, i.e., a part of a wage difference usually ascribed to gender wage discrimination can be explained by different preferences of men and women on a labor market.

Date: 2013
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