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Activity Number:
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205
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Type:
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Contributed
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Date/Time:
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Monday, August 7, 2006 : 2:00 PM to 3:50 PM
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Sponsor:
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Business and Economics Statistics Section
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| Abstract - #305350 |
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Title:
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Estimating the Change in the Gender Wage Gap When Employment Composition Changes: Evidence for Japan, 1987--2002
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Author(s):
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Daiji Kawaguchi*+ and Hisahiro Naito
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Companies:
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Hitotsubashi University and Tsukuba University
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Address:
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Naka 2 1, Kunitachi Tokyo, 186-8601, Japan
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Keywords:
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gender wage gap ; Roy model ; self-selection ; trimming estimator ; Japan
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Abstract:
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Gender wage gap has narrowed significantly in the last 20 years in Japan. The employment population ratio of women also has increased in the same period. The change of compositions of workers could result in the observed gender wage convergence without any change in the structure of offered wages. This paper develops a method to estimate the convergence of gender wage gap when the compositions of workers of both genders change. The newly developed estimators are trimming estimators that trim the wage distribution of certain education and age groups so the composition of workers in terms of these observable characteristics is stable over time. Applying two extreme trimming rules, the trimming estimators identify the upper and lower bounds of true gender wage convergence.
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