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Size, Structure, and Change: Exploring the Sources of Aboriginal Earnings Gaps in 1995 and 2005

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  • Donna Feir

Abstract

I investigate the trends and sources of the Aboriginal/non-Aboriginal annual earnings gap and the on-reserve annual earnings penalty. Three sources of these gaps are considered: differences in weeks worked, weekly earnings due to characteristics, and returns. I find that earnings differences between non-Aboriginals and Métis have declined due to convergence in the number of weeks worked. The on-reserve weekly earnings penalty has increased, possibly due to the changing proportion off-reserve. My study also examines the importance of taxes and transfers in reducing the earnings gap. While they do not eliminate most inequities, measured taxes and transfers eliminate the on-reserve earnings penalty for women.

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  • Donna Feir, 2013. "Size, Structure, and Change: Exploring the Sources of Aboriginal Earnings Gaps in 1995 and 2005," Canadian Public Policy, University of Toronto Press, vol. 39(2), pages 309-334, June.
    • Handle: RePEc:cpp:issued:v:39:y:2013:i:2:p:309-334
    DOI: 10.3138/CPP.39.2.309
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    Cited by:

    1. Donna Feir & Randall Akee, 2019. "First Peoples lost: Determining the state of status First Nations mortality in Canada using administrative data," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 52(2), pages 490-525, May.
    2. Feir, Donn. L. & Foley, Kelly & Jones, Maggie E. C., 2022. "Heterogeneous Returns to Active Labour Market Programs for Indigenous Populations," IZA Discussion Papers 15358, Institute of Labor Economics (IZA).
    3. Krishna Pendakur & Ravi Pendakur, 2018. "The Effects of Modern Treaties and Opt-In Legislation on Household Incomes in Aboriginal Communities," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 137(1), pages 139-165, May.
    4. Maggie Jones, 2017. "Student Aid And The Distribution Of Educational Attainment," Working Paper 1373, Economics Department, Queen's University.
    5. Button, Patrick & Walker, Brigham, 2020. "Employment discrimination against Indigenous Peoples in the United States: Evidence from a field experiment," Labour Economics, Elsevier, vol. 65(C).
    6. Donna Feir, 2015. "The Intergenerational Effect of Forcible Assimilation Policy on Education," Department Discussion Papers 1501, Department of Economics, University of Victoria.
    7. Maggie Jones & Michael Barber, 2019. "Inequalities in Test Scores between Indigenous and Non-Indigenous Youth in Canada," Department Discussion Papers 1904, Department of Economics, University of Victoria.
    8. Barber, Michael & Jones, Maggie E.C., 2021. "Inequalities in test scores between Indigenous and non-Indigenous youth in Canada," Economics of Education Review, Elsevier, vol. 83(C).
    9. Jones, Maggie E.C., 2023. "Post-secondary funding and the educational attainment of indigenous students," Economics of Education Review, Elsevier, vol. 97(C).

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