Monopsonistic Discrimination and the Gender-Wage Gap

Erling Barth and Harald Dale-Olsen

No 7197, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Models of worker flows have revitalized the idea of monopsony in the labor market. We apply such a model to gender differences. We argue that monopsonistic discrimination may be a substantial factor behind the overall gender wage gap, in particular with respect to differences arising between occupations and establishments. Using matched employer-employee data from Norway, we investigate the wage structure within and between establishments, and present novel evidence that the establishments' excess turnover of employees is sensitive to the wage premium of men, but not to the wage premium of women. Furthermore, we show that male turnover is more wage-elastic than female turnover.

JEL-codes: J16 J31 (search for similar items in EconPapers)
Date: 1999-06
New Economics Papers: this item is included in nep-lab and nep-ltv
Note: LS
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Citations: View citations in EconPapers (25)

Published as Barth, Erling & Dale-Olsen, Harald, 2009. "Monopsonistic discrimination, worker turnover, and the gender wage gap," Labour Economics, Elsevier, vol. 16(5), pages 589-597, October.

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