nep-gen New Economics Papers
on Gender
Issue of 2019‒03‒18
four papers chosen by
Jan Sauermann
Stockholms universitet

  1. Occupational Characteristics and the Gender Pay Gap By Aline Zucco
  2. Gender Wage Gaps and Worker Mobility: Evidence from the Garment Sector in Bangladesh By Menzel, Andreas; Woodruff, Christopher
  3. Do Parental Leaves Make the Motherhood Wage Penalty Worse? Assessing Two Decades of German Reforms By Gabriele Mari; Giorgio Cutuli
  4. Relationship of Gender Differences in Preferences to Economic Development and Gender Equality By Armin Falk; Johannes Hermle

  1. By: Aline Zucco
    Abstract: Germany has a large persistent Gender Pay Gap of 21 %; although this gap is not constant across occupations. The question arises why some occupations have large Gender Pay Gaps while others have only small gaps. Using data from the Structural Earnings Study merged with occupational task information provided by the Federal Labor Office, this paper aims to uncover the relationship between occupational characteristics and the Gender Pay Gap. To do so, I apply a two-step approach, where the first step uses individual characteristics to estimate the adjusted occupation-specific Gender Pay Gaps. In the second step, these gaps are regressed on occupational characteristics. I find that wage differences between men and women are lower in occupations with linear earnings and in occupations with a large share of public firms. Moreover, we observe that an increasing share of persons with supervisory power is linked to larger wage differences between men and women, which indicates the presence of a glass ceiling. Finally, the Gender Pay Gap is higher in occupations with routine tasks. Moreover, the findings suggest that the more that employees can be substituted with other employees, the lower is the Gender Pay Gap. Hence, this study extends previous findings on occupation-specific Gender Pay Gaps by linking them to occupational characteristics on a more general level.
    Keywords: Gender pay gap, segregation, discrimination, wage differentials, occupations
    JEL: J3 J31 J24 J16
    Date: 2019
  2. By: Menzel, Andreas; Woodruff, Christopher
    Abstract: We examine gender wage gaps in the Bangladeshi garment sector using data from administrative records and surveys from 70 large export-oriented manufacturers. Among production workers, we find that men are paid about 8 percent more than women. Detailed skills assessments available in a subset of the factories suggest that differences in skills differences and sector tenure combined account for just over half of the gap. The other half owes to differences in promotion rates conditional on skills. We show that by adding some structure we can combine the factory-level HR records and the survey data to estimate rates of promotions occurring as workers move across factories and sector exit rates. Differences in promotion rates are largely explained by lower rates of mobility of women across sectors, but these appear to arise mainly from career concerns rather than frictions coming from household responsibilities associated with marriage and children.
    Keywords: Export-oriented manufacturing; Gender wage gaps; monopsony in motion
    JEL: J16 J31 O14
    Date: 2019–03
  3. By: Gabriele Mari; Giorgio Cutuli
    Abstract: Women-friendly policies may have perverse effects on the wages of employed women and mothers in particular. Yet few have addressed the causal impact of such policies and the mechanisms they might trigger at the individual level to produce such wage responses. We assess if and how two decades of reforms of parental leave schemes in Germany have shaped changes in the motherhood wage penalty over time. We compare two sweeps of reforms inspired by opposite principles, one allowing for longer periods out of paid work, the other prompting quicker re-entry in the labour market. We deploy panel data (SOEP 1985-2014) and a within-person difference-in-differences design. Motherhood wage penalties were found to be harsher than previously assessed in the 1990s. As parental leave reform triggered longer time spent on leave coupled with better tenure accumulation, wage losses for mothers remained stable in this first period. Conversely, we can no longer detect motherhood wage penalties for women affected by the later reform. Shorter career breaks and increased work hours may have benefited new mothers in the late 2000s, leading to a substantial improvement in their wage prospects.
    Keywords: Parental leave, motherhood wage penalty, difference-in-difference, gender inequality
    JEL: D13 J13 J16 J31
    Date: 2019
  4. By: Armin Falk; Johannes Hermle
    Abstract: Preferences – concerning time, risk and social interactions – systematically shape human behavior, and contribute to differential economic and social outcomes between the genders. Here, we present a global investigation of gender differences in six fundamental preferences. Our data consist of 80,000 individuals in 76 representative country samples with measures on willingness to take risks, patience, altruism, positive and negative reciprocity as well as trust. Gender differences in preferences were positively related to economic development and gender equality. This suggests that greater availability of and equal access to material and social resources for both genders favor the manifestation of genderdifferentiated preferences across countries.
    Date: 2019–02

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