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Convergence in the gender wage gap in Australia over the 1980s: identifying the role of counteracting forces via the Juhn, Murphy and Pierce Decomposition

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  • Michael Kidd
  • Michael Shannon

Abstract

The paper utilises the Juhn Murphy and Pierce (1991) decomposition to shed light on the pattern of slow male-female wage convergance in Australia over the 1980s. The analysis allows one to distinguish between the role of wage structure and genderspecific effects. The central question addressed is whether rising wage inequality counteracted the forces of increased female investment in labour market skills, i.e. education and experience. The conclusion is that in contrast to the US and the UK, Australian women do not appear to have been swimming against a tide of adverse wage structure changes.

Suggested Citation

  • Michael Kidd & Michael Shannon, 2001. "Convergence in the gender wage gap in Australia over the 1980s: identifying the role of counteracting forces via the Juhn, Murphy and Pierce Decomposition," Applied Economics, Taylor & Francis Journals, vol. 33(7), pages 929-936.
    • Handle: RePEc:taf:applec:v:33:y:2001:i:7:p:929-936
    DOI: 10.1080/00036840121991
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    References listed on IDEAS

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    1. Richard B. Freeman, 1994. "Working Under Different Rules," NBER Books, National Bureau of Economic Research, Inc, number free94-1.
    2. Freeman, Richard B. & Katz, Lawrence F. (ed.), 1995. "Differences and Changes in Wage Structures," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226261607, September.
    3. Richard B. Freeman & Lawrence F. Katz, 1995. "Differences and Changes in Wage Structures," NBER Books, National Bureau of Economic Research, Inc, number free95-1.
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    Cited by:

    1. Elisa R. Birch & Alison C. Preston, 2021. "The Evolving Wage Structure of Young Adults in Australia: 2001 to 2019," The Economic Record, The Economic Society of Australia, vol. 97(318), pages 365-386, September.
    2. Günalp, Burak & Cilasun, Seyit Mümin & Acar, Elif Öznur, 2013. "Male-Female Labor Market Participation and the Extent of Gender-Based Wage Discrimination in Turkey," MPRA Paper 51503, University Library of Munich, Germany.
    3. Günalp, Burak & Cilasun, Seyit Mümin & Acar, Elif Öznur, 2013. "Male-Female Labor Market Participation and the Extent of Gender-Based Wage Discrimination in Turkey," MPRA Paper 51503, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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