Wage Structure and Gender Earnings Differentials: An International Comparison

Lawrence M. Kahn

in Gender, Inequality, and Wages

Published in print September 2012 | ISBN: 9780199665853
Published online January 2013 | e-ISBN: 9780191745805 | DOI:

Series: IZA Prize in Labor Economics

Wage Structure and Gender Earnings Differentials: An International Comparison

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Using microdata to analyze the gender pay gap in ten industrialized nations, this chapter focuses on the role of wage structure — the prices of labour market skills — in influencing the gender gap. It shows that the wage structure is extremely important in explaining why the US gender gap is higher than that in most other industrialized countries. It concludes that the US gap would be similar to that in Sweden and Australia (the countries with the smallest gaps) if the United States had their levels of wage inequality. This finding reflects the larger penalty in the United States for those with low skill levels or employed in low-wage sectors.

Keywords: gender pay gap; wage differentials; wage inequality; labour market institutions

Chapter.  14054 words.  Illustrated.

Subjects: Macroeconomics and Monetary Economics

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