The Gender Pay Gap in EU Countries — New Evidence Based on EU-SES 2014 Data

Intereconomics - Gender differences in wages are a persistent pattern in most European countries. This study analyses the earnings divide between men and women and the driving forces behind it in...     

Mind the gap��German motherhood risks in figures and game theory issues

After childbirth, while parents are delighted at public cash transfers like the German ‘Elterngeld’ (parental leave benefit), the decline in mothers’ earnings capacity is an awkward issue that tends to hover in the background. This paper aims firstly to make a contribution to quantifying West German mothers’ foregone gross earnings that stem from intermittent labor market participation, due to the birth of their first child. Secondly, it discusses behavioral outcomes of the resulting implicit child costs in a dynamic bargaining model of household decisions. The regression results of a Mincer-type wage equation, with German Socio-Economic Panel Data (West) for the period 1984–2005 and correcting for sample selection (Two-step Heckman), indicate considerable wage penalties due to birth-related employment withdrawal. On the closure of the fecund window, mothers suffer gross hourly wage cuts of up to 25%, compared to their equally educated, non-stop full-time employed counterparts, and the total of annualized losses amounts to as much as 201,000 Euros. Although foregone earnings do not matter as much in stable partnerships, they turn out to be a veritable asymmetric specialization risk that can prevent women from having children, if divorce seems sufficiently probable.     

Die neuen Elterngeld-Komponenten: Will money trump gender?

Empirical evidence on couples’ decision making has shown that the partners’ sharing of resources (particularly of time and money) is driven by their respective bargaining positions and gender role behaviour. Against the background of an asymmetric specialisation risk carried by the person that takes care responsibilities, we discuss the potential effects that the recently proposed extensions of the German parental leave system, particularly the “ElterngeldPlus” and “Partnerbonus”, may have on the partners’ work division and their individual welfare levels in the long run.     

Das Betreuungsgeld — eine kritische ökonomische Analyse

Für die Einführung des Betreuungsgeldes sprechen aus Sicht der Befürworter viele Argumente: mehr Wahlfreiheit, Anerkennung der Betreuungsleistung von Eltern, Ausgleich für die Nichtinanspruchnahme von Leistungen und eine Verbesserung des Kindeswohls. Die Autorinnen unterziehen die verschiedenen Argumente einer kritischen Analyse und kommen zu dem Ergebnis, dass aus ?konomischer Perspektive keines stichhaltig ist. Zudem würde das Betreuungsgeld nachteilige Effekte wie eine Verfestigung der Lohnunterschiede zwischen den Geschlechtern erzeugen.