scholarly journals DIFFERENCES IN DECLINE: QUANTILE REGRESSION OF MALE–FEMALE EARNINGS DIFFERENTIAL IN MALAYSIA

2015 ◽  
Vol 60 (04) ◽  
pp. 1550054 ◽  
Author(s):  
SIEW CHING GOY ◽  
GERAINT JOHNES

Semiparametric estimation has gained significant attention in the study of wage inequality between men and women in recent years. By extending the wage gap at the mean towards the entire wage distribution using quantile regression, it enables researchers to ascertain the direction and the proportions of differences in characteristics and returns to these characteristics at different parts of the wage distribution. This line of research has been prominent in western society but has not yet been explored in the context of the Malaysian labor market. To fill the gap, this paper examines the gender earnings gap in Malaysia between 1994 and 2004 using Malaysia Population and Family Survey data. The gender earnings differential, as measured by the log percentage point is 53% in 1994. The difference reduces to 45% for a restricted sample and 42% for the unrestricted sample in 2004. However, it was found that the gender wage gap reduces as we move up the wage distribution. This suggests that women suffer from a sticky floor effect, i.e., the gender wage gap is bigger at the bottom of distribution. More importantly, the observed gender wage differentials do not reflect differences in the productive characteristics of the workers. In fact, it accounts for very little, if any, of the gap in Malaysia. However, the extent of the price effect is larger at the bottom end of the distribution than at the top.

2018 ◽  
Vol 25 (S01) ◽  
pp. 04-23
Author(s):  
Anh Trần Thị Tuấn

Inequality between men and women in the labor market is one of the issues that is of great interest in labor economics. The sticky floor effect occurs when the gender wage gap widens at the lower tail of the wage distribution. The glass ceiling effect in wage exists if the gender wage gap at the top of the wage distribution is wider than other positions. This study uses the dataset of VHLSS2014 and adopts quantile regression to investigate the existence of glass ceiling and sticky floor in the Vietnam’s labor market. The overall results obtained of the entire sample show that there is sticky floor effect but no glass ceiling in the Vietnam’s labor market. However, the results are different when it comes to each labor group. In terms of urban and rural areas, the sticky floor exists, but the glass ceiling does not in both areas. In terms of state and private sectors, while the glass ceiling exists in state sector, the stick floor is only present in the private sector.


Author(s):  
Raquel Mendes

Despite the evidence of female progress with regard to women’s role in the labor market, gender inequality remains. Women are still less likely to be employed than men, occupational gender segregation continues, and females continue to earn less than males. The gender wage gap remains wide in several occupational sectors, among which is the information technology (IT) sector. This paper focuses the determinants of gender wage inequality. More precisely, it investigates for statistical evidence of a glass ceiling effect on women’s wages. Based on the quantile regression framework, the empirical analysis extends the decomposition of the average gender wage gap to other parts of the earnings distribution. The main objective is to empirically test whether gender-based wage discrimination is greater among high paid employees, in line with glass ceiling hypothesis. Larger unexplained gaps at the top of the wage distribution indicate the existence of a glass ceiling effect in Portugal.


Author(s):  
Rossella Icardi

Context: Existing studies have explored the association between workplace training and wages suggesting that training participation may have a positive association with wages. However, we still know very little about whether this association varies between men and women. Through its potential positive association with wages, training may balance wage differences between men and women. In addition, the gender wage gap varies across the wage distribution. Differences in the association between training participation and wages for men and women across the earnings spectrum may offer an explanation as to why the discrepancy in female/male earnings is larger at some point of the wage distribution compared to others. Approach: Using data from the Programme for International Assessment of Adult Competencies (PIAAC) and unconditional quantile regression, this paper examines whether the association between workplace training and wages differs between men and women at different points of the wage distribution across 14 European countries. To partly control for endogeneity in training participation, detailed measures of cognitive skills have been included in the models. Findings: Findings show gender differences in the association between training and wages across the wage distribution. In most countries, results indicate larger training coefficients for women than men at the lower end of the wage spectrum whereas they are larger for men at the top. This pattern holds across most countries with the only exception of Liberal ones, where women benefit less than men across the entire wage spectrum.Conclusions: The findings of this work reveal that distributional variations in returns to workplace training follow a similar pattern across industrialized countries, despite their different institutional settings. Moreover, differences in training coefficients of men and women at different parts of the wage distribution suggest that training could reduce gender wage differences among low earners and potentially widen the gap in wages among individuals at the top of the wage distribution. 


2021 ◽  
Vol 16 (2) ◽  
pp. 74-83
Author(s):  
Orkideh Gharehgozli ◽  
Vidya Atal

Abstract This paper aims to explore gender wage differential at the wage distribution decile level. We define “real wage” with one of the most tangible adjustment measures, “Big Mac Index”. We study wages equivalent to the number of Big Mac burgers (per day) of men and women belonging to different wage distribution deciles for 21 countries and for the priod of 2000 to 2013. We find that, across countries, the higher the GDP per capita, the larger the gender wage gap. The “wealthy” European countries have the lowest female to male wage ratio. High female participation in part-time jobs may be a reason for that. Meanwhile, Latin American countries with the lowest GDP per capita in our study have the highest ratio of female to male wages. As expected, we also find that within a country, the higher the wage decile, the larger the gender wage inequality.


2020 ◽  
pp. 109634802090942
Author(s):  
Xisco Oliver ◽  
Maria Sard

This article analyzes the gender wage gap in the hospitality sector. First, it explores whether the gender wage gap is partly explained by the economic sector. Second, it measures how this gap changes across the wage distribution using quantile regression. Third, it decomposes the gender wage gap in the hospitality sector to distinguish which part can be explained by observed attributes and which part is explained by other factors (unobserved characteristics or gender discrimination). Methodologically, this article introduces the use of quantile regression to the analysis of the gender wage gap and its decomposition in the hospitality sector. The main findings are as follows. First, on average in the hospitality sector, wages (without taking into account worker skills) are below the overall average wages. However, if a deeper look is taken, this research reveals that unskilled workers are better paid in hospitality than in most of the other sectors. The opposite is true for skilled workers, since mid- and high-wage workers in the hospitality sector receive wages below their counterparts in other sectors. Second, the gender wage gap is particularly low in the hospitality sector and the gap changes across the wage distribution. Third, a large part of the gender wage gap in hospitality is not explained by worker or company characteristics. The segregation of women into worse-paid jobs and gender discrimination (or unobserved characteristics) seem to be the main sources of the gender wage gap.


Author(s):  
Raquel Mendes

Despite the evidence of female progress with regard to women’s role in the labor market, gender inequality remains. Women are still less likely to be employed than men, occupational gender segregation continues, and females continue to earn less than males. The gender wage gap remains wide in several occupational sectors, among which is the information technology (IT) sector. This paper focuses the determinants of gender wage inequality. More precisely, it investigates for statistical evidence of a glass ceiling effect on women’s wages. Based on the quantile regression framework, the empirical analysis extends the decomposition of the average gender wage gap to other parts of the earnings distribution. The main objective is to empirically test whether gender-based wage discrimination is greater among high paid employees, in line with glass ceiling hypothesis. Larger unexplained gaps at the top of the wage distribution indicate the existence of a glass ceiling effect in Portugal.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Dao Dinh Nguyen ◽  
Xinran Zhang ◽  
Trang Huyen Nguyen

PurposeThe objective of this study is to estimate the gender wage gap in Vietnam and its rural and urban areas, especially with the presence of foreign firms.Design/methodology/approachThe authors use cross-sectional data from three rounds of the Vietnam Household Living Standards Survey (VHLSS 2008, 2012, and 2016) to investigate this issue. The unconditional quantile regression and Oaxaca–Blinder (OB) decomposition are used in this article.FindingsThe article finds the gender wage gap favouring men, especially in higher quantiles of the wage distribution. The gap in urban Vietnam was higher than in rural areas. The OB decomposition indicates that gender wage gap is mainly driven by gender discrimination. The differences in return to participation in foreign companies only contributed significantly and positively to such a gap in some models. It suggests that the gap in those models is affected by gender discrimination in employment opportunities in foreign companies. Regarding the endowment effect, some models provide the significantly negative impacts of foreign firms on gender wage inequality.Originality/valueThe study suggests that policies to reduce the gender wage gap should pay more attention to foreign firms, especially at higher wage classes.


2009 ◽  
Vol 14 (1) ◽  
pp. 1-37 ◽  
Author(s):  
Bushra Yasmin

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.


2019 ◽  
Vol 20 (1) ◽  
pp. 106-123 ◽  
Author(s):  
Mustafizur Rahman ◽  
Md. Al-Hasan

This article undertakes an examination of Bangladesh’s latest available Quarterly Labour Force Survey 2015–2016 data to draw in-depth insights on gender wage gap and wage discrimination in Bangladesh labour market. The mean wage decomposition shows that on average a woman in Bangladesh earns 12.2 per cent lower wage than a man, and about half of the wage gap can be explained by labour market discrimination against women. Quantile counterfactual decomposition shows that women are subject to higher wage penalty at the lower deciles of the wage distribution with the wage gap varying between 8.3 per cent and 19.4 per cent at different deciles. We have found that at lower deciles, a significant part of the gender wage gap is on account of the relatively larger presence of informal employment. Conditional quantile estimates further reveal that formally employed female workers earn higher wage than their male counterparts at the first decile but suffer from wage penalty at the top deciles. JEL: C21, J31, J46, J70


Sign in / Sign up

Export Citation Format

Share Document