Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/67328
Authors: 
Shatnawi, Dina
Oaxaca, Ronald L.
Ransom, Michael R.
Year of Publication: 
2012
Series/Report no.: 
Discussion Paper Series, Forschungsinstitut zur Zukunft der Arbeit 7001
Abstract: 
Our study evaluates and extends existing wage decomposition methodologies that seek to measure the contributions of endowments, pure wage discrimination, and job segregation. Of particular interest is the model of hierarchical segregation in Baldwin, Butler, and Johnson (2001). We employ data from a regional supermarket that faced a Title VII class-action lawsuit to examine how standard wage specifications integrated with a model of hierarchical segregation might perform in wage decompositions. Our results show that a common misspecification of the wage structure leads to false inferences about the presence of pure wage discrimination. We demonstrate the generalizability of our methodology using CPS data.
Subjects: 
gender discrimination
job segregation
wage decompositions
JEL: 
J71
Document Type: 
Working Paper

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