scholarly journals The immigrant-native wage gap in Germany revisited

2021 ◽  
Author(s):  
Kai Ingwersen ◽  
Stephan L. Thomsen
Keyword(s):  
Human Capital ◽  
Economic Integration ◽  
Influence Function ◽  
Regression Models ◽  
Wage Gap ◽  
Wage Distribution ◽  
Hourly Wage ◽  
Explanatory Variables ◽  
New Evidence ◽  
Over Time

AbstractThis study provides new evidence on the levels of economic integration experienced by foreigners and naturalised immigrants relative to native Germans from 1994 to 2015. We decompose the wage gap using the method for unconditional quantile regression models by employing a regression of the (recentered) influence function (RIF) of the gross hourly wage on a rich set of explanatory variables. This approach enables us to estimate contributions made across the whole wage distribution. To allow for a detailed characterisation of labour market conditions, we consider a comprehensive set of socio-economic and labour-related aspects capturing influences of, e.g., human capital quality, cultural background, and the personalities of immigrants. The decomposition results clearly indicate a significant growing gap with higher wages for both foreigners (13.6 to 17.6%) and naturalised immigrants (10.0 to 16.4%). The findings further display a low explanation for the wage gap in low wage deciles that is even more pronounced within immigrant subgroups. Cultural and economic distances each correlate strongly with wages. A different appreciation of foreign educational qualifications, however, widens the wage gap substantially by 4.5%points on average. Moreover, we observe an indication of deterioration of immigrants’ human capital endowments over time relative to those of native Germans.

scholarly journals Trade Liberalization and the Lead Role of Human Capital and Job Attributes in Wage Determination: The Case of Pakistan’s Labor Market

2009 ◽  
Vol 14 (1) ◽  
pp. 1-37 ◽  
Author(s):  
Bushra Yasmin
Keyword(s):  
Human Capital ◽  
Trade Liberalization ◽  
Wage Gap ◽  
Individual Characteristics ◽  
Wage Distribution ◽  
Wage Determination ◽  
Pay Gap ◽  
Job Attributes ◽  
The Difference

This study analyzes the role of human capital and job attributes, i.e., supply-side determinants, in determining wages in a period of trade liberalization. Using the Mincerian earning function and based on data from the Labor Force Surveys, we construct a model to estimate various wage determinants and compute the rates of return to different educational qualifications and relative occupational wage shares for the years 2005/06 and 1990/91. The estimated earning functions for 1990/91 and 2005/06 are compared to investigate whether individual characteristics—such as gender, job location, nature of job, educational qualifications, and different occupations—cause the wage gap to widen or contract under conditions of trade liberalization. The mean and quantile regression approach is used for estimation purposes. Our key findings postulate (i) an increasing gender pay gap, (ii) a higher wage premium to the highest educational qualification, and (iii) more or less stable relative wages for different occupations over time. In addition, wage dispersion across occupational groups appears more pronounced in 1990/91 than in 2005/06, implying a declining trend in the difference in wage distribution across occupations.

The Gender Wage Gap in Hospitality: New Evidence From Spain

2020 ◽  
pp. 193896552097127
Author(s):  
José M. Casado-Díaz ◽  
Oana Driha ◽  
Hipólito Simón
Keyword(s):  
Hospitality Industry ◽  
Gender Wage Gap ◽  
Wage Gap ◽  
Wage Distribution ◽  
Hospitality Workers ◽  
Direct Discrimination ◽  
Female Employees ◽  
New Evidence ◽  
Employee Data ◽  
Accurate Quantification

This article examines the gender wage gap in the Spanish hospitality industry versus the rest of the economy. Decomposition techniques are applied to a nationwide representative sample that includes matched employer–employee data allowing an accurate quantification of the phenomenon and its determinants. The methodologies used allow us to examine the average gender wage gap and also how this gap behaves throughout the wage distribution. According to the results, the gender wage gap in hospitality is rather significant (although slightly lower compared with the rest of the economy) and exhibits a steeper profile along the wage distribution. A large part of the gap is explained by observable characteristics, as female hospitality workers have lower levels of seniority than men, are overrepresented in low-skilled occupations, have less supervisory responsibilities, and are segregated into low-wage firms. Although potentially direct discrimination seems to be lower in hospitality, it is not a negligible problem, as, in its most conservative measure (namely, when observationally identical male and female employees working in the same firm are compared), it accounts for as much as 0.05 log points or 30% of the raw gender wage gap. The evidence also shows that the particularly intense gender wage gap observed in the uppermost part of the wage distribution in the hospitality industry arises because more qualified women in the sector are doubly penalized by an intense segregation into comparatively worse jobs and by an unfavorable wage treatment with respect to comparable men, which is consistent with the glass-ceiling phenomenon.

Knowledge Obsolescence and Women’s Occupational Sorting: New Evidence from Citation Data

2019 ◽  
Vol 20 (1) ◽  
Author(s):  
Amanda McFarland ◽  
Sarah Pearlman
Keyword(s):  
Human Capital ◽  
Wage Gap ◽  
Citation Data ◽  
College Majors ◽  
Undergraduate Level ◽  
Capital Depreciation ◽  
Female Presence ◽  
Using Data ◽  
Occupational Sorting ◽  
New Evidence

Abstract Occupational sorting now is one of the main drivers of the gender wage gap. Differential rates of human capital depreciation, or knowledge obsolescence, have been put forward as one potential explanation. This paper provides new evidence on this relationship using a dataset on academic citations constructed by the authors. The dataset covers numerous fields and decades, making it a more recent and comprehensive measure of human capital depreciation. Using data on occupations from the ACS we find that higher rates of knowledge obsolescence are associated with reductions in women’s presence in a field. We also find that knowledge obsolescence reduces female presence in college majors at the undergraduate level.

EDUCATIONAL DISPARITIES IN COLOMBIA 1904-58: NEW EVIDENCE FROM A REGIONAL LEVEL APPROACH

2019 ◽  
Vol 37 (3) ◽  
pp. 443-478
Author(s):  
María José Fuentes-Vásquez
Keyword(s):  
Human Capital ◽  
Secondary Education ◽  
Regional Level ◽  
Regional Economic ◽  
Fiscal Capacity ◽  
Educational Disparities ◽  
Primary And Secondary Education ◽  
Low Coverage ◽  
New Evidence ◽  
Over Time

ABSTRACTRegional economic differences in Colombia have persisted over time. The present study seeks to contribute to the debate on the territorial differences of the country through the identification of patterns of low coverage in both primary and secondary education between 1904 and 1958. The results, coinciding with other studies on income, show a tendency towards the formation of an educational cluster in the centre of the country and the existence of a human capital trap in the periphery. The results also suggest that there is a high correlation between fiscal capacity and enrolment rates. Finally, it can also be observed that territories with the highest enrolment rates are associated with high urban enrolment rates during the process of country-wide urbanisation.

scholarly journals The Gender Wage Gap: Extent, Trends, and Explanations

2017 ◽  
Vol 55 (3) ◽  
pp. 789-865 ◽  
Author(s):  
Francine D. Blau ◽  
Lawrence M. Kahn
Keyword(s):  
Gender Differences ◽  
Human Capital ◽  
Gender Wage Gap ◽  
Wage Gap ◽  
Panel Study ◽  
Work Force ◽  
Wage Distribution ◽  
Gender Pay Gap ◽  
Pay Gap ◽  
Quantitative Evidence

Using Panel Study of Income Dynamics (PSID) microdata over the 1980–2010 period, we provide new empirical evidence on the extent of and trends in the gender wage gap, which declined considerably during this time. By 2010, conventional human capital variables taken together explained little of the gender wage gap, while gender differences in occupation and industry continued to be important. Moreover, the gender pay gap declined much more slowly at the top of the wage distribution than at the middle or bottom and by 2010 was noticeably higher at the top. We then survey the literature to identify what has been learned about the explanations for the gap. We conclude that many of the traditional explanations continue to have salience. Although human-capital factors are now relatively unimportant in the aggregate, women's work force interruptions and shorter hours remain significant in high-skilled occupations, possibly due to compensating differentials. Gender differences in occupations and industries, as well as differences in gender roles and the gender division of labor remain important, and research based on experimental evidence strongly suggests that discrimination cannot be discounted. Psychological attributes or noncognitive skills comprise one of the newer explanations for gender differences in outcomes. Our effort to assess the quantitative evidence on the importance of these factors suggests that they account for a small to moderate portion of the gender pay gap, considerably smaller than, say, occupation and industry effects, though they appear to modestly contribute to these differences. ( JEL I26, J16, J24, J31, J71)

Distribution of the gender wage gap with endogenous human capital: evidence for Spain

2015 ◽  
Vol 3 (1) ◽  
pp. 25-45 ◽  
Author(s):  
Lucía Navarro-Gómez ◽  
Mario F. Rueda-Narvaez
Keyword(s):  
Human Capital ◽  
Empirical Evidence ◽  
Wage Gap ◽  
Wage Distribution ◽  
Job Tenure ◽  
Content Type ◽  
Education Experience ◽  
Female Wage ◽  
Using Data ◽  
Wage Earners

Purpose – The purpose of this paper is to provide empirical evidence on gender wage discrimination and how it is distributed among women in the Spanish labour market, where female participation has been rising for decades. The empirical approach aims to assess to which extent discrimination is evenly distributed or not among women, and how different subgroups of workers are affected by it. Design/methodology/approach – Using data from the Spanish section of the European Community Household Panel (1994-2001) the authors estimate earnings equations for men and women using the instrumental variable (IV) method proposed by Hausman and Taylor (1981). This aims to avoid biases resulting from endogeneity of regressors. Building on these results, the authors follow the proposal of Jenkins (1994) and estimate a bivariate wage distribution for women, containing individual expected earnings with and without discrimination. Findings – The results show that discrimination is distributed unevenly across female workers and that the degree to which women are discriminated against grows as they move upward in the wage distribution. Also, when wage determinants are allowed to be endogenous, the results experience drastic changes, both in average and distributional terms. Research limitations/implications – The results point to a “glass ceiling” operating on female earnings and also show that endogeneity of human capital should be taken into account when analysing discrimination. Therefore, more empirical evidence in this line would be welcome. Originality/value – By using IV estimation of wages, the authors control for the existence of endogeneity in earnings equations. Also, the authors provide unexplained wage differentials for particular groups of female wage earners, specially according to education, experience and job tenure.

scholarly journals Foreign- and domestic firm ownership and its impact on wages. Evidence from Poland

2021 ◽  
pp. 095968012199667
Author(s):  
Paulina Broniatowska ◽  
Paweł Strawiński
Keyword(s):  
Foreign Capital ◽  
Wage Gap ◽  
Methodological Approach ◽  
Foreign Ownership ◽  
Wage Distribution ◽  
Domestic Firm ◽  
Firm Ownership

This study concentrates on the effect of foreign ownership of companies on worker wage distribution. Using an innovative methodological approach that combines the Oaxaca–Blinder decomposition and the modified DiNardo et al. reweighting approach, we estimate the wage gap between domestic-owned and foreign-owned firms. The study confirms that firm ownership (domestic or foreign) influences the wage distribution of workers, as a worker employed in a foreign-owned firm earns, on average, 5 percent more than a matched worker in a domestic-owned firm with similar characteristics. We link that gap with an origin of foreign capital. This analysis demonstrates that the origin of capital has an impact on wage distribution in the firm and may affect wages in the whole section.

scholarly journals Trends in Wage Inequality in the Netherlands

De Economist ◽  
2021 ◽  
Author(s):  
Colja Schneck
Keyword(s):  
Labor Market ◽  
The Netherlands ◽  
Wage Inequality ◽  
Wage Distribution ◽  
Labor Market Institutions ◽  
Market Institutions ◽  
Educational Degree ◽  
Over Time

AbstractIn this paper I analyze changes in the wage distribution in the Netherlands. I use a matched employer-employee dataset that covers the population of employees. Wage inequality increases over the period of 2001–2016. Changes in between-firm wage components are responsible for nearly the entire increase. Increases in the variance of workers’ skills and increases in worker sorting and worker segregation explain the majority of the rise in the variance of wages. These changes are accompanied by a pattern where variation in educational degree and firm average wages become more correlated over time. Finally, it is suggested that labor market institutions in the Netherlands play an important role in mediating overall wage inequality.

scholarly journals Transition models for count data: a flexible alternative to fixed distribution models

2021 ◽  
Author(s):  
Moritz Berger ◽  
Gerhard Tutz
Keyword(s):  
Count Data ◽  
Regression Models ◽  
Negative Binomial ◽  
Real Data ◽  
Distribution Models ◽  
Explanatory Variables ◽  
Excess Zeros ◽  
Proposed Model ◽  
Transition Models ◽  
Fixed Distribution

AbstractA flexible semiparametric class of models is introduced that offers an alternative to classical regression models for count data as the Poisson and Negative Binomial model, as well as to more general models accounting for excess zeros that are also based on fixed distributional assumptions. The model allows that the data itself determine the distribution of the response variable, but, in its basic form, uses a parametric term that specifies the effect of explanatory variables. In addition, an extended version is considered, in which the effects of covariates are specified nonparametrically. The proposed model and traditional models are compared in simulations and by utilizing several real data applications from the area of health and social science.

scholarly journals Rough diamonds in emerging markets: legacy, competitiveness, and sustained high performance

2019 ◽  
Vol 26 (3) ◽  
pp. 363-386
Author(s):  
Seung Ho Park ◽  
Gerardo R. Ungson
Keyword(s):  
Human Capital ◽  
Emerging Markets ◽  
High Performance ◽  
Core Competencies ◽  
Market Potential ◽  
Government Support ◽  
Screening Tests ◽  
Institutional Voids ◽  
Content Type ◽  
Over Time

Purpose The purpose of this paper is to uncover the underlying drivers of sustained high performing companies based on a field study of 127 companies in Brazilian, Russian, Indian and Chinese (BRIC) and Association of Southeast Asian Nations (ASEAN) emerging markets. Understanding these companies provides a complementary way of appraising the growth, development and transformation of emerging markets. The authors synthesize the findings in an overarching framework that covers six strategies for building and sustaining legacy that leads to the succession of intergenerational wealth over time: overcoming institutional voids, inclusive markets, deepening localization, nurturing government support, building core competencies and harnessing human capital. The authors relate these strategies to different levels of development using Prahalad and Hart’s BOP framework. Design/methodology/approach This study examines the underlying drivers of sustained high-performance companies based on field studies from an initial set of 105,260 BRIC companies and close to 500 companies in ASEAN. The methods employed four screening tests to arrive at a selection of the highest-performing firms: 70 firms in the BRIC nations and 58 firms from ASEAN. Following the selection, the authors constructed cases using primary interviews and secondary data, with the assistance of Ernst & Young and with academic colleagues in Manila. These studies were originally conducted in two separate time periods and reported accordingly. This paper synthesizes the findings of these two studies to arrive at an extended integrative framework. Findings From the cases, the authors examine six strategies for building and sustaining legacy that lead to high performance over time: overcoming institutional voids, creating inclusive markets, deepening localization, nurturing government support, building core competencies and harnessing human capital. To address the evolving state of institutional voids in these countries, the authors employ similar methods to hypothesize the placement of these strategies in the context of the world economic pyramid, initially formulated as the “bottom of the pyramid” framework. Originality/value This paper synthesizes and extends the authors’ previous works by proposing the concept of legacy to describe the emergence and succession of local exemplary firms in emerging markets. This study aims to complement extant measures of nation-growth based primarily on GDP. The paper also extends the literature on institutional voids in shifting the focus from the mix of voids to their evolving state. Altogether, the paper provides a complementary narrative on assessing the market potential of emerging markets by adopting several categories of performance.

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