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Article
Publication date: 2 May 2017

Nicolas Fleury

The purpose of this paper is to analyse the role played by parental education endowments vs intergenerational transmission of education in education differences between…

Abstract

Purpose

The purpose of this paper is to analyse the role played by parental education endowments vs intergenerational transmission of education in education differences between second-generation immigrants and natives for the French case.

Design/methodology/approach

First, estimates of human capital accumulation functions are performed by using a representative sample of the French population. Second, the Blinder-Oaxaca decomposition technique is implemented to underline the specific roles of differences in parental education endowments and of differences in intergenerational transmission in education between origins.

Findings

The econometric estimates of human capital accumulation function parameters underline that the determinants of education level (and their magnitude), differ substantially between natives and migrants. They also underline evidence of heterogeneity in the intergenerational transmission of education among the different origins of migrants in France. The Oaxaca-Blinder decomposition results show that parental education endowments account differences for a significant part of the education gaps among origins. No evidence is found that differences in parental transmissions of education explain these gaps.

Originality/value

The paper focusses on France, a country with a rich history of immigration in the twentieth century. The econometric analysis is based on a rich source of data for France that allows studying intergenerational mobility in education and also distinguishing natives from second-generation migrants based on their geographical origin.

Details

International Journal of Manpower, vol. 38 no. 2
Type: Research Article
ISSN: 0143-7720

Keywords

Open Access
Article
Publication date: 4 June 2018

Pawel Strawinski, Aleksandra Majchrowska and Paulina Broniatowska

The purpose of this paper is to analyse the relation between occupational segregation and the gender wage differences using data on three-digit occupational level of…

3833

Abstract

Purpose

The purpose of this paper is to analyse the relation between occupational segregation and the gender wage differences using data on three-digit occupational level of classification. The authors examine whether a statistically significant relation between the share of men in employment and the size of the unexplained part of the gender wage gap exists.

Design/methodology/approach

Traditional Oaxaca (1973) – Blinder (1973) decomposition is performed to examine the differences in the gender wage gaps among minor occupational groups. Two types of reweighted decomposition – based on the parametric estimate of the propensity score and non-parametric proposition presented by Barsky et al. (2002) – are used as the robustness check. The analysis is based on individual data available from Poland.

Findings

The results indicate no strong relation between occupational segregation and the size of unexplained differences in wages. The unexplained wage differences are the smallest in strongly female-dominated and mixed occupations; the highest are observed in male-dominated occupations. However, they are probably to a large extent the result of other, difficult to include in the econometric model, factors rather than the effects of wage discrimination: differences in the psychophysical conditions of men and women, cultural background, tradition or habits. The failure to take them into account may result in over-interpreting the unexplained parts as gender discrimination.

Research limitations/implications

The highest accuracy of the estimated gender wage gap is obtained for the occupational groups with a similar proportion of men and women in employment. In other male- or female-dominated groups, the size of the estimated gender wage gaps depends on the estimation method used.

Practical implications

The results suggest that decreasing the degree of segregation of men and women in different occupations could reduce the wage differences between them, as the wage discrimination in gender balanced occupations is the smallest.

Originality/value

To the best of the authors’ knowledge, this study is one of the few conducted at such a disaggregated level of occupations, and one of few studies focused on Central and Eastern European countries and the first one for Poland.

Details

International Journal of Manpower, vol. 39 no. 3
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 30 July 2018

Yir-Hueih Luh and Min-Fang Wei

The Old Farmer Pension Program (OFPP) represents Taiwan’s long-standing efforts aiming at improving farm household income and well-being; however, how effective the pension…

Abstract

Purpose

The Old Farmer Pension Program (OFPP) represents Taiwan’s long-standing efforts aiming at improving farm household income and well-being; however, how effective the pension program is in terms of achieving the policy agenda has remained unclear. The paper aims to discuss this issue.

Design/methodology/approach

Based on data drawn from the Survey of Family Income and Expenditure during 1999–2013, two identification strategies are used to examine the effect of OFPP. First the authors apply the Blinder-Oaxaca decomposition to address the concern if the program reaches the socially/economically disadvantaged farm households. The second identification strategy involves using the static and dynamic decomposition approaches to identify the major factors contributing to farm household income inequality and the redistribution role of the OFPP.

Findings

Results from the Blinder-Oaxaca decomposition indicate that about 60 percent of the income gap can be eliminated if the pension recipients’ socio-economic characteristics are the same as the non-recipient group, suggesting it is the disadvantaged group that receives the old farmer pension. Moreover, the results suggest the significant contributions of household investments in health and human capital as well as diversification toward nonfarm activities, to income inequality among Taiwan’s farm households. Results from the dynamic decomposition suggest that the first-wave adjustment of the OFPP enlarges farm household income inequality, the following two waves of adjustment, however, plays an equalizing role.

Originality/value

This study adds to the literature by providing a methodological refinement promoting the view that it calls for the use of the dynamic (change) decomposition framework to investigate the inequality-enlarging or inequality-equalizing role each income determinant plays.

Details

China Agricultural Economic Review, vol. 11 no. 1
Type: Research Article
ISSN: 1756-137X

Keywords

Open Access
Article
Publication date: 14 September 2023

Ömer Tuğsal Doruk

This study aims to use a comparative analysis to examine the channel of deferring cash commitments, which can be seen as a strategic solution to mitigate the impact of COVID-19 on…

Abstract

Purpose

This study aims to use a comparative analysis to examine the channel of deferring cash commitments, which can be seen as a strategic solution to mitigate the impact of COVID-19 on Moldova's service sector.

Design/methodology/approach

This paper uses the Oaxaca–Blinder decomposition analysis. The World Bank's post-COVID-19 survey is used. The methodology takes into account heterogeneity among firms.

Findings

The results of the Oaxaca–Blinder decomposition analysis show that service firms use deferred cash commitments more than industrial firms, corporate governance and their pandemic-related strategies are also effective in the post-COVID Moldovan economy. The results are robust to different modeling alternatives.

Originality/value

COVID-19 can be considered a key source of uncertainty for firms, especially those operating in economies where financial frictions occasionally occur in a transition economy. Therefore, this study can shed new light on the impact of COVID-19 on financial strategies in a transition economy.

Details

Journal of Money and Business, vol. 3 no. 2
Type: Research Article
ISSN: 2634-2596

Keywords

Article
Publication date: 30 May 2022

Victor Rudakov, Margarita Kiryushina, Hugo Figueiredo and Pedro Nuno Teixeira

The aim of the research is to estimate the level of the early career gender wage gap in Russia, its evolution during the early stages of a career, gender segregation and…

Abstract

Purpose

The aim of the research is to estimate the level of the early career gender wage gap in Russia, its evolution during the early stages of a career, gender segregation and discrimination among university graduates, and to identify factors which explain early career gender differences in pay. Special emphasis is placed on assessing the contribution of horizontal segregation (inequal gender distribution in fields of studies and industries of employment) to early-career gender inequality.

Design/methodology/approach

The study is based on a comprehensive and nationally representative survey of university graduates, carried out by Russian Federal State Statistics Service in 2016 (VTR Rosstat). The authors use Mincer OLS regressions for the analysis of the determinants of gender differences in pay. To explain the factors which form the gender gap, the authors use the Oaxaca-Blinder and Neumark gender gap decompositions, including detailed wage gap decompositions and decompositions by fields of study. For the analysis of differences in gender gap across wage distribution, quantile regressions and quantile decompositions based on recentered influence functions (RIFs) are used.

Findings

The study found significant gender differences in the early-career salaries of university graduates. Regression analysis confirms the presence of a 20% early-career gender wage gap. This gender wage gap is to a great extent can be explained by horizontal segregation: women are concentrated in fields of study and industries which are relatively low paid. More than half of the gender gap remains unexplained. The analysis of the evolution of the gender wage gap shows that it appears right after graduation and increases over time. A quantile decomposition reveals that, in low paid jobs, females experience less gender inequality than in better paid jobs.

Social implications

The analysis has some important policy implications. Previously, gender equality policies were mainly related to the elimination of gender discrimination at work, including positive discrimination programs in a selection of candidates to job openings and programs of promotion; programs which ease women labour force participation through flexible jobs; programs of human capital accumulation, which implied gender equality in access to higher education and encouraged women to get higher education, which was especially relevant for many developing countries. The analysis of Russia, a country with gender equality in access to higher education, shows that the early career gender gap exists right after graduation, and the main explanatory factor is gender segregation by field of study and industry, in other words, the gender wage gap to a high extent is related to self-selection of women in low-paid fields of study. To address this, new policies related to gender inequality in choice of fields of studies are needed.

Originality/value

It has been frequently stated that gender inequality appears either due to inequality in access to higher education or after maternity leave. Using large nationally representative dataset on university graduates, we show that gender equality in education does not necessarily lead to gender equality in the labour market. Unlike many studies, we show that the gender gap in Russia appears not after maternity leave and due to marital decisions of women, but in the earliest stages of their career, right after graduation, due to horizontal segregation (selection of women in relatively low-paid fields of study and consequently industries).

Article
Publication date: 27 May 2014

Julia Bredtmann and Sebastian Otten

– The purpose of this paper is to provide empirical evidence on the gender wage differential of labor market entrants and the determinants of their starting wages.

1230

Abstract

Purpose

The purpose of this paper is to provide empirical evidence on the gender wage differential of labor market entrants and the determinants of their starting wages.

Design/methodology/approach

The paper makes use of a unique data set on graduates in economics from a large German university that contains detailed information on the graduates’ course of study, their additional qualifications and their transition from university to the labor market. Based on these data, Mincer-type earnings functions as well as wage decompositions as proposed by Blinder (1973) and Oaxaca (1973) are performed.

Findings

The paper finds a significant gender wage differential of 7 percent. Blinder-Oaxaca decompositions suggest that the major part of this gap remains unexplained by gender differences in observable characteristics.

Research limitations/implications

The main feature of our analysis – having a highly homogeneous sample of graduates from a single university – comes at the costs of reduced ability to draw generalized conclusions from our findings.

Originality/value

This paper investigates the determinants of entry wages for a homogeneous group of high-skilled workers using a unique data set of graduates in business and economics from a large German university. Concentrating on a highly homogeneous sample limits the problem of unobserved heterogeneity, which results in an overestimation of the unexplained component of standard decompositions analyses. Hence, the finding that a large part of the gender pay gap remains unexplained can be considered as an indicator for gender discrimination in the labor market for economics graduates.

Details

International Journal of Manpower, vol. 35 no. 3
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 2 November 2015

Sten Anspal

The Ñopo (2008) method of non-parametric decomposition, a matching-based alternative to Oaxaca (1973) and Blinder’s (1973) method of wage gap decomposition, is subject to the…

Abstract

Purpose

The Ñopo (2008) method of non-parametric decomposition, a matching-based alternative to Oaxaca (1973) and Blinder’s (1973) method of wage gap decomposition, is subject to the so-called “index number problem” common to the Oaxaca-Blinder and many related methods: its results are sensitive to the (arbitrary) choice of either male or female sex as the reference category in decomposition. The purpose of this paper is to address this issue by proposing an extension to the method that is invariant to the choice of reference category.

Design/methodology/approach

The Ñopo method is modified such that the wage structure of the average worker instead of either male or female worker’s is used as the reference, enabling one to distinguish the “male advantage” and “female advantage” portions of the gender wage gap. As an illustration, a decomposition of the gender wage gap is performed with the modified method, using data from 15 OECD countries.

Findings

The empirical results using the Ñopo decomposition indicate substantial differences in estimates of the unexplained gap depending on which sex is used as the reference category. Moreover, this disparity varies significantly with the choice of covariates used in the decomposition. This confirms there is significant cross-country variation in the asymmetry between male advantage and female disadvantage and that a decomposition method making this explicit would be relevant in real world settings.

Originality/value

The extension of the Ñopo method proposed in this paper offers a way of decomposing the wage gaps in a way that is not sensitive to the choice of the reference category.

Details

International Journal of Manpower, vol. 36 no. 8
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 5 November 2020

Tatiana Kossova, Elena Kossova, Arina Sitnikova and Maria Sheluntcova

The paper investigates changes in consumption of pure alcohol, vodka, beer, wine and fortified wine by neighboring age classes of Russians.

Abstract

Purpose

The paper investigates changes in consumption of pure alcohol, vodka, beer, wine and fortified wine by neighboring age classes of Russians.

Design/methodology/approach

Data source is the Russian Longitudinal Monitoring Survey – HSE from 2000 to 2017. Age groups are those born in 1934 and older, in 1935–1944 and further with a 10-years interval till the group of 1985 and younger. The amount of consumed alcohol is estimated with Heckman model. LR-test is used to determine the similarity of alcohol consumption behavior of age groups. Oaxaca–Blinder decomposition presents the difference in the average level of alcohol consumption among two neighboring age classes with the explained and unexplained parts.

Findings

Male and female respondents from the group (1985+) drink significantly less absolute alcohol than the previous age class born in 1975–1984. Oaxaca–Blinder decomposition shows that an increase in absolute alcohol consumption for women and a decrease in absolute alcohol consumption for men come from the unexplained difference of consumption volumes. Policy measures should be targeted on the prevention of excessive alcohol consumption among Russian women since they demonstrate an increase in the consumption of vodka, beer and fortified wine from one generation to another.

Originality/value

For the first time, the paper presents decomposition of changes in alcohol consumption volumes for neighboring age groups of Russians. The change in consumption volumes might be due to the change of objective characteristics of individuals and unobservable factors like the influence of advertising, government policy and the entry of new alcohol producers into the market.

Details

Journal of Economic Studies, vol. 48 no. 7
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 27 May 2014

Lin Xiu and Morley Gunderson

– The purpose of the paper is to analyse how the male-female pay gap in China varies across the pay distribution and to provide evidence on the factors that influence that gap.

3539

Abstract

Purpose

The purpose of the paper is to analyse how the male-female pay gap in China varies across the pay distribution and to provide evidence on the factors that influence that gap.

Design/methodology/approach

The authors use the Recentered Influence Function modification of quantile regressions to estimate how the male-female pay gap varies across the pay distribution. The authors also decompose the pay gaps at different quantiles of the pay distribution into differences in endowments of wage determining characteristics and differences in the returns for the same characteristics. The analysis is based on data from the Life Histories and Social Change in Contemporary China survey.

Findings

The authors find evidence of a sticky floor (large pay gaps at the bottom of the pay distribution) and some limited and weaker evidence of a glass ceiling (large pay gaps at the top of the distribution). This pattern prevails based on the overall pay gap as well as on the adjusted or net gap that reflects differences in the pay that males and females receive when they have the same pay determining characteristics. The pattern largely reflects the coefficients or unexplained differences across the pay distribution. Factors influencing the pay gap and how they vary across the pay distribution are discussed. The variation highlights considerable heterogeneity in the Chinese labour market with respect to how pay is determined and different characteristics are rewarded, implying that the conventional Blinder-Oaxaca decompositions that focus only on the mean of the distribution can mask important differences across the full pay distribution.

Social implications

At the bottom of the pay distribution most of the lower pay of females reflects their lower returns to job tenure, experience and a greater negative effect of family responsibilities on females’ wages, and to a lesser extent their lower level of education, less likelihood of being CPP members and their concentration in lower paying occupations. At the top of the pay distribution most of their lower pay reflects their lower returns on education, job tenure and work experience, and to a lesser extent their lower levels of experience and lower likelihood of being in managerial and leadership positions.

Originality/value

The paper systematically examines the male-female pay gap and its determinants throughout the pay distribution in China, highlighting that the conventional Blinder-Oaxaca decompositions that focus only on the mean of the distribution can mask important differences across the full pay distribution and not capture the considerable heterogeneity in that labour market.

Details

International Journal of Manpower, vol. 35 no. 3
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 18 September 2020

Yousef Veisani, Shahab Rezaeian, Fathola Mohamadian and Ali Delpisheh

This paper aims to evaluate the socio-economic factors of inequalities in common mental disorders (MDs) between advantaged and disadvantaged groups and also to determine the main…

Abstract

Purpose

This paper aims to evaluate the socio-economic factors of inequalities in common mental disorders (MDs) between advantaged and disadvantaged groups and also to determine the main contributors of inequality.

Design/methodology/approach

This cross-sectional study was conducted in 2016–2017. The authors included 763 persons by stratified cluster sampling; clusters were cities, geographical area and households. Blinder-Oaxaca decomposition technique was used to estimate of main inequalities determinant between advantaged and disadvantaged groups.

Findings

Overall prevalence of MDs was 22.6 and 35.6% in the advantage and disadvantaged groups, respectively. The concentration index was −0.013 [95% Confidence Interval (95% CI): −0.022, −0.004]; therefore, MDs were more concentrated in the deprived group. The risk of MDs in deprived group and females was 81 and 60% higher than advantaged group (OR: 1.81; 95% CI: 1.28, 2.57) and males (OR: 1.60; 95% CI: 1.21, 2.24), respectively. Educational status [−0.06 (95% CI: −0.10, −0.01)] was the highest level of contribution in inequality in gaps between groups.

Originality/value

The socio-demographic inequality in MDs among adult population was more explained by lower educational level, married persons and unemployment variables.

Details

International Journal of Human Rights in Healthcare, vol. 13 no. 4
Type: Research Article
ISSN: 2056-4902

Keywords

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