EconPapers    
Economics at your fingertips  
 

Decomposing the Gender Wage Gap in the Netherlands with Sample Selection Adjustments

James Albrecht (), Aico van Vuuren () and Susan Vroman ()

No 1400, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: In this paper, we use quantile regression decomposition methods to analyze the gender gap between men and women who work full time in the Netherlands. Because the fraction of women working full time in the Netherlands is quite low, sample selection is a serious issue. In addition to shedding light on the sources of the gender gap in the Netherlands, we make two methodological contributions. First, we prove that the Machado-Mata quantile regression decomposition procedure yields consistent and asymptotically normal estimates of the quantiles of the counterfactual distribution that it is designed to simulate. Second, we show how the technique can be extended to account for selection. We find that there is a positive selection of women into full-time work in the Netherlands; i.e., women who get the greatest return to working full time do work full time. We find that about two thirds of this selection is due to observables such as education and experience with the remainder due to unobservables. Our decompositions show that the majority of the gender log wage gap is due to differences between men and women in returns to labor market characteristics rather than to differences in the characteristics. This is true across the wage distribution, particularly in the top half of the distribution.

Keywords: quantile regression; selection; gender (search for similar items in EconPapers)
JEL-codes: C24 J22 J31 J71 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec
Date: 2004-11
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (31) Track citations by RSS feed

Published in: Labour Economics, 2009, 16 (4), 383-396

Downloads: (external link)
http://ftp.iza.org/dp1400.pdf (application/pdf)

Related works:
Working Paper: Decomposing the Gender Wage Gap in the Netherlands with Sample Selection Adjustments (2004) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp1400

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute for the Study of Labor (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Series data maintained by Mark Fallak ().

 
Page updated 2017-09-29
Handle: RePEc:iza:izadps:dp1400