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Income Inequalities within Couples in the Czech Republic and European Countries

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Abstract

This study analyses the income distribution within couples in the Czech Republic and ten European countries using the EU-SILC 2005 database. Data from the Luxembourg Income Study (LIS) database supplement the analysis with previous period (1986–2000). Women, on average, contribute less to a couple’s income than men. Among the included countries, within-couple income inequality tends to be lower in the new EU member states than in the old ones, with the Czech Republic being the exception. Within-couple income inequality has two crucial factors: employment of female partners and, subsequently, their wages. In the context of the first, the inter-generational transmission of the traditional model of the family proved to have a significant negative impact on the female employment decision mainly in the old EU member states. Finally, gender wage gaps between men and women who live in a couple were examined and compared with the gender wage gaps for single individuals. The gender wage gap proved to be higher for cohabiting individuals than for singles even after adjusting for gender differences in individual and job characteristics.

Suggested Citation

  • Martina Mysíková, 2011. "Income Inequalities within Couples in the Czech Republic and European Countries," Working Papers IES 2011/04, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised Jan 2011.
    • Handle: RePEc:fau:wpaper:wp2011_04
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    1. John Ermisch & Chiara Pronzato, 2008. "Intra‐Household Allocation of Resources: Inferences from Non‐resident Fathers’ Child Support Payments," Economic Journal, Royal Economic Society, vol. 118(527), pages 347-362, March.
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    3. Browning, Martin & Francois Bourguignon & Pierre-Andre Chiappori & Valerie Lechene, 1994. "Income and Outcomes: A Structural Model of Intrahousehold Allocation," Journal of Political Economy, University of Chicago Press, vol. 102(6), pages 1067-1096, December.
    4. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
    5. Jens Bonke & Martin Browning, 2003. "The Distribution of Well-Being and Income within the Household," CAM Working Papers 2003-01, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
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    More about this item

    Keywords

    gender wage gap; traditional family model; within-couple inequalities;
    All these keywords.

    JEL classification:

    • D19 - Microeconomics - - Household Behavior - - - Other
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J79 - Labor and Demographic Economics - - Labor Discrimination - - - Other

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