Earnings differentials and occupational segregation by gender: A simultaneous equations approach |
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Affiliation: | 1. University of Potsdam, Germany;2. IZA Bonn, Germany;3. DIW Berlin, Germany;4. IAB Nuremberg, Germany;5. Maastricht University, The Netherlands;6. CNRS, CREST, France |
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Abstract: | ![]() Models of male/female earnings differentials which include explanatory variables such as occupational distribution and participation rates are criticized for failing to account for the simultaneity of the relationships involved. An alternative, eight-equation model of earnings differentials, participation differentials and occupational segregation is developed. Application of the model to Australian census data is discussed. |
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