The effect of work absence on wages and wage gaps in Sweden

We use unique information about short-term absence from the labor market among Swedish employees to investigate the potential wage loss attributed to this type of absence. A reform in the Swedish health insurance system was used as an instrument. The results indicate that women's wages are significantly reduced by work absence due to own sickness, while absence to care for a sick child has no significant wage effect. For men, we find no support for effects on wages from short-term absence. We also show that the distribution of the gender wage gap depends to a large extent on work absence. Received: 29 September 1998/Accepted: 16 April 1999     

Running hard and falling behind: a welfare analysis of two-earner families

This paper investigates the commonly asserted proposition that long term economic changes have put the family in a financial bind. Structural parameters of a family utility model are obtained by estimating simultaneous labor supply functions for a two-earner household. We find evidence indicating that the average 1990‘s two-earner family would prefer to receive the 1980‘s real wage package (were it available) instead of the real wage package it actually faces. The degree to which the 1990‘s family is worse off (in terms of the changes in the real wage package) is roughly equivalent to an hour of leisure per week. Received September 25, 1995 / Accepted February 5, 1997     

The gender wage gap and wage arrears in Russia: Evidence from the RLMS

This paper re-examines the gender wage gap in Russia between 1994 and 1998 taking into account the pervasiveness of Russias non-payment institutions. Using censored regression techniques we investigate wage discrimination at different sections of the income distribution and for various important sub-groups. We find that the wage gap is distributed unevenly. Most notably, women at the lower end of the income distribution suffer the highest degree of discrimination. However, we find that wage arrears and payment in-kind attenuated wage discrimination, particularly amongst the lowest paid workers, suggesting that Russian enterprise managers assigned importance to equity considerations when allocating these forms of non-payment.All correspondence to Carmen A Li. We are grateful for the helpful comments and suggestions of Vanessa Fry, Amanda Gosling, Tim Hatton, Alastair McAuley and two anonymous referees. The usual disclaimer applies. Responsible editor: Junsen Zhang.     

The intra-firm gender wage gap: a new view on wage differentials based on linked employer–employee data

We provide a new view on the nature of the gender wage gap (GWG) by analyzing the wage differentials within establishments. Based on linked employer–employee data for Germany, we show that the GWGs vary tremendously across establishments, even if we assume that male and female employees have the same human capital characteristics within each establishment. This heterogeneity is linked to firm and institutional characteristics: For instance, firms with works council and those covered by collective wage agreements have smaller GWGs. Furthermore, we find some evidence that firms operating under strong product market competition behave in a more egalitarian way.     

Motherhood,labor force behavior,and women’s careers: An empirical assessment of the wage penalty for motherhood in britain,germany, and the united states

Using harmonized longitudinal data from the British Household Panel Survey (BHPS), the German Socio-Economic Panel (GSOEP), and the National Longitudinal Survey of Youth (NLSY), we trace career prospects after motherhood for five cohorts of American, British, and West German women around the 1960s. We establish wage penalties for motherhood between 9% and 18% per child, with wage losses among American and British mothers being lower than those experienced by mothers in Germany. Labor market mechanisms generating the observed wage penalty for motherhood differ markedly across countries, however. For British and American women, work interruptions and subsequent mobility into mother-friendly jobs fully account for mothers’ wage losses. In contrast, respective penalties are considerably smaller in Germany, yet we observe a substantial residual wage penalty that is unaccounted for by mothers’ observable labor market behavior. We interpret this finding as indicating a comparatively more pronounced role for statistical discrimination against mothers in the German labor market.     

人力资本积累、搜寻渠道与农民工工资水平——基于微观调查数据的区间回归分析

本文基于广东企业用工调查数据,利用区间回归模型,检验了农民工人力资本积累、工作搜寻渠道、社会保险等对于他们在城市劳动力市场上的工资水平的影响,结果发现：人力资本能够显著提升农民工在城市劳动力市场上的工资水平;农民工的社会关系网络及政府、市场中介的搜寻行为都无助于提升农民工的工资水平;参加社会保险农民工的工资水平要明显高于未参保农民工,而工作生活满意度的高低对农民工工资也不会产生显著影响。     

Occupational mobility of American women: Compositional and structural changes, 1980–2007

In this paper, I document trends in women's occupational mobility between 1980 and 2007 in the U.S labor market, and link these trends to two distinct sources: compositional and structural changes. In this context, compositional changes refers to the over time trends in the distributions of men and women in the occupational wage hierarchy, while structural changes are the trends in the relative standing of occupations in the wage hierarchy over time. The findings provide empirical evidence for both processes, indicating that the impressive upward occupational mobility of American women is a consequence not only of their increased access to highly paid occupations, but also of the higher wage increments in their typical occupational profiles relative to men's—a structural change not often acknowledged by sociologists.     

Sectoral gender wage differentials and discrimination in the transitional Chinese economy

China's economic reform has affected various ownership sectors to different degree. A comparison of gender wage differentials and discrimination among individuals employed in the three sectors – state sector, the collective sector, and the private sector – provides information on the impact of economic reform. Two Chinese data sets from Shanghai and Jinan are used to examine the gender wage gap across the three sectors. It is found that privatization/marketization of the economy leads to larger wage differentials as human capital characteristics are more appropriately rewarded. Both data sets show that the relative share of discrimination in the overall gender wage differential declines substantially across ownership sectors from the state to the private. The increase in gender wage differential due to marketization is much larger than any increase in differential that may arise from more gender discrimination. Received: 5 November 1997/Accepted: 10 January 2000     

Wage subsidies as an anti-discrimination policy

Using the statistical theory of discrimination, we argue that initial wage offers may be lower for minority workers, but that wage differences for a given level of productivity should diminish with the worker's job tenure. If a wage subsidization policy is designed so that initial wage offers are equal for majority and minority workers and is maintained for a time period sufficient to demonstrate true productivity, then wage differences for a given level of productivity should disappear. We also provide an empirical test of the effectiveness of such a policy by using a sample of participants in a government job program that enforced equal wage schedules for White and Black workers. Our results show that measured discrimination declined among program participants, supporting the hypothesis that wage subsidies would be an effective anti-discrimination policy.     

New Evidence Against a Causal Marriage Wage Premium

Recent research has shown that men’s wages rise more rapidly than expected prior to marriage, but interpretations diverge on whether this indicates selection or a causal effect of anticipating marriage. We seek to adjudicate this debate by bringing together literatures on (1) the male marriage wage premium; (2) selection into marriage based on men’s economic circumstances; and (3) the transition to adulthood, during which both union formation and unusually rapid improvements in work outcomes often occur. Using data from the National Longitudinal Survey of Youth 1979, we evaluate these perspectives. We show that wage declines predate rather than follow divorce, indicating no evidence that staying married benefits men’s wages. We find that older grooms experience no unusual wage patterns at marriage, suggesting that the observed marriage premium may simply reflect co-occurrence with the transition to adulthood for younger grooms. We show that men entering shotgun marriages experience similar premarital wage gains as other grooms, casting doubt on the claim that anticipation of marriage drives wage increases. We conclude that the observed wage patterns are most consistent with men marrying when their wages are already rising more rapidly than expected and divorcing when their wages are already falling, with no additional causal effect of marriage on wages.     

The Value of an Employment-Based Green Card

The need for and role of highly skilled immigrant workers in the U.S. economy is fiercely debated. Proponents and opponents agree that temporary foreign workers are paid a lower wage than are natives. This lower wage partly originates from the restricted mobility of workers while on a temporary visa. In this article, we estimate the wage gain to employment-based immigrants from acquiring permanent U.S. residency. We use data from the New Immigrant Survey (2003) and implement a difference-in-difference propensity score matching estimator. We find that for employer-sponsored immigrants, the acquisition of a green card leads to an annual wage gain of about $11,860.     

Wage Losses Due to Overqualification: The Role of Formal Degrees and Occupational Skills

Wage penalties in overqualified employment are well documented, but little is known regarding the underlying mechanisms. Drawing on new methods to measure the mismatch between jobs and qualifications, we test two explanations: formal overqualification and a mismatch of occupational skills, which have so far not been analysed. Using the National Educational Panel Study survey that is linked to German administrative data, we can objectively measure both types of mismatch. By using fixed-effects models, we confirm that overqualification is associated with a wage loss of approximately 5%, which indicates penalties when working at a lower requirement level. We find that some of this wage loss can be explained by a mismatch of skills between the current and training occupation. Further analyses show that mismatches of occupational skills explain the wage loss of formal overqualification for employees with vocational training. For academics, the two types of mismatch are unrelated. We conclude that, because of occupational boundaries and more specific occupational skills, vocationally trained people who are overqualified more often work in jobs with lower and different skill requirements. We emphasize that measuring both formal degrees and occupational skills and their mismatch allows for a deeper understanding of overqualification and wage-setting.     

Do significant labor market events change who does the chores? Paid work,housework, and power in mixed-gender Australian households

We examine how men and women in mixed-gender unions change the time they allocate to housework in response to labor market promotions and terminations. Operating much like raises, such events have the potential to alter intra-household power dynamics. Using Australian panel data, we estimate couple-specific fixed effects models and find that female promotion has the strongest association with housework time allocation adjustments. These adjustments are in part attributable to concurrent changes in paid work time, but gender power relations also appear to play a role. Further results indicate that households holding more liberal gender role attitudes are more likely to adjust their housework time allocations after female promotion events. Power dynamics cannot, however, explain all the results. Supporting the sociological theory that partners may “do gender,” we find that in households with more traditional gender role attitudes, his housework time falls while hers rises when he is terminated.     

The categorical generation of organizational inequality: A comparative test of Tilly's durable inequality

This paper develops a theoretical and methodological application of Tilly's [Tilly, C. (1998). Durable inequality. Berkeley, CA: University of California Press] assertions that inequalities are inherently relational and categorical. We focus on the specific proposition that inequalities are exaggerated when categorical social distinctions are mapped onto positional distinctions internal to organizations. Using samples of Australian and U.S. organizations we examine the influence of sex and other status distinctions upon between-class wage inequality. In both countries class inequality is exaggerated when workers are women and managers men. These between-class inequality producing processes are also present for other categorical distinctions available in the data we use (education, permanent vs. temporary worker, dominant vs. marginal linguistic group in Australia, permanent vs. temporary worker and white vs. non-white in the U.S.). In the U.S. the coefficients for relational sex composition are twice as large as in Australia, suggesting historical–institutional differences between the countries enables gender to exert a stronger influence on between-class inequality in the U.S. We further examine the institutional differences in these categorical bases for inequality by examining the extent to which they vary within the two countries as a function of two historically relevant institutional distinctions in wage setting regimes—formalization in the U.S. and centralized wage awards in Australia. As expected these institutional differences shape the extent and type of between-class wage inequality. We conclude that researchers should move methodologically towards observing relations within organizations to reflect the theoretical advances of the past two decades.     

The elasticity of labor demand and the minimum wage

We show that, contrary to widespread belief, low-pay workers do not generally prefer that the minimum wage rate be increased until the labor demand is unitary elastic. Rather, there exists a critical value of elasticity of labor demand so that increases in the minimum wage rate make low-pay workers better off for higher elasticities, but worse off for lower elasticities. This critical value decreases with unemployment benefits and increases with workers’ risk aversion. We also show that in some countries the benefits for long-term unemployed are so low that workers would probably prefer that the minimum wage rate be decreased. I thank the anonymous referees for helpful suggestions.     

Empirical characteristics of legal and illegal immigrants in the USA

We combine the New Immigrant Survey (NIS), which contains information on US legal immigrants, with the American Community Survey (ACS), which contains information on legal and illegal immigrants to the USA. Using an econometric methodology proposed by Lancaster and Imbens (J Econ 71:145–160, 1996) we compute the probability for each observation in the ACS data to refer to an illegal immigrant, conditional on observed characteristics. These results are novel, since no other work has quantified the characteristics of illegal immigrants from a random sample representative of the population. Using these conditional probability weights on the ACS data, we are able to uncover some interesting facts on illegal immigrants. We find that, while illegal immigrants suffer a large wage penalty compared to legal immigrants at all education levels, the penalty decreases with education. We also find that the total fertility rate among illegal immigrant women is significantly higher than that among legal ones, in particular for middle and higher educated women. Looking at the sector of activity, we document that the sectors attracting most illegal immigrants are constructions and agriculture. We also generate empirical distributions for state of residence, country of origin, age, sex, and number of legal and illegal immigrants. Our forecasts for the aggregate distribution of legal and illegal characteristics match imputations by the Department of Homeland Security.     

Women in the workforce and family structure in Australia

The purpose of this paper is to set out some of the changes that have taken place in the economic status of women in Australia and to discuss the relationship between economic factors and family structure. I look at the position of women in the workforce and examine some of the possible explanations for the increase in female participation. These include the increase in the female wage, demographic changes and changes in the industrial composition of the economy. In a final section, I examine some of the evidence for the effect of economic variables, particularly the wage, on fertility. I would like to thank Bob Gregory, Bruce Chapman, George Fane, Francis Teal and the Journal’s referees for valuable comments on an earlier draft. All responsibility for remaining errors is mine.     

大城市外来人口迁移行为影响因素分析

利用2008年四大城市的外来人口问卷调查资料,运用多层次Logit模型分析影响大城市外来人口迁移行为的个体因素和迁入地因素。研究发现,外来人口的迁移行为发生较大的变化,城城迁移所占比重的上升导致性别、婚姻状况以及户口类型等因素对迁移概率的影响并不显著,迁移更多地表现为以家庭为单位;由于外来人口在就业和工资收入上受到不同程度的歧视,加之迁入地产业结构调整升级,就业岗位的增加对外来人口的吸引力有所下降,并且其预期收入水平与城市居民平均收入水平相脱离;城市平均工资增长率的提高对非正规部门劳动力产生了挤出效应,减小了潜在迁移者的迁移概率。     

A Task-Based Indicator for Labour Market Mismatch

This article uses a task-based approach to measure labour market mismatch and to study the wage effects of mismatch. We propose a new indicator—cognitive mismatch—and contrast it with the commonly used overqualification indicator. We argue that considering the tasks performed in each occupation captures more adequately the complexity of job requirements and tackles the major drawbacks of the existing approaches measuring mismatch. Using rich administrative data from the German Sample of Integrated Labour Market Biographies, we find that 4.8% of the total employment episodes are matched in terms of qualification but mismatched in terms of the tasks performed. Fixed Effects models show that the largest wage loss occurs in cases of mismatch in both education level and tasks performed at work. We conclude that each indicator is capturing different facets of mismatch and that they should be used complementarily in labour market mismatch analyses.

     

Demographics and the dynamics of earnings

This paper discusses how demographic changes, in particular changes in cohort size, female labor force participation and migration, influence the dynamics of wage rate profiles. A review of the literature suggests that there are demographic effects on wage rate profiles, although they are usually rather small. Future research should concentrate on second-order adjustments and long-term effects of demographic changes.Presidential address delivered at the sixth annual meeting of the European Society for Population Economics, June 10–13, 1992, Gemunden, Austria. The author acknowledges the constructive comments of Bjorn Gustafsson and two referees.