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Addressing the Gender Pay Gap in Ethiopia: How Crucial is the Quest for Education Parity?

Addressing the Gender Pay Gap in Ethiopia: How Crucial is the Quest for Education Parity? This paper uses the 2005 Ethiopian Labour Force Survey to analyse the gender pay gap in Ethiopia. A particular attention is drawn on the relative importance of education parity to mitigate the most pressing wage inequality, together with the role of labour market segmentation. Decompositions of the gender wage gap are performed for different points in the wage distribution, different age cohorts and different types of wage employment. Our results indicate that while differences in education contribute to a non-negligible share of the gender wage gap, about half of the education wage gap can be explained by selection across job characteristics. The sources of the wage gap tend also to vary quite substantially across age groups, types of employment and wage levels. Finally, our results suggest that some form of discriminatory practices may contribute to the wage gap both directly through the unexplained component and indirectly through job selection. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of African Economies Oxford University Press

Addressing the Gender Pay Gap in Ethiopia: How Crucial is the Quest for Education Parity?

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References (20)

Publisher
Oxford University Press
Copyright
The author 2010. Published by Oxford University Press on behalf of the Centre for the Study of African Economies. All rights reserved. For permissions, please email: journals.permissionsoxfordjournals.org
Subject
Articles
ISSN
0963-8024
eISSN
1464-3723
DOI
10.1093/jae/ejq020
Publisher site
See Article on Publisher Site

Abstract

This paper uses the 2005 Ethiopian Labour Force Survey to analyse the gender pay gap in Ethiopia. A particular attention is drawn on the relative importance of education parity to mitigate the most pressing wage inequality, together with the role of labour market segmentation. Decompositions of the gender wage gap are performed for different points in the wage distribution, different age cohorts and different types of wage employment. Our results indicate that while differences in education contribute to a non-negligible share of the gender wage gap, about half of the education wage gap can be explained by selection across job characteristics. The sources of the wage gap tend also to vary quite substantially across age groups, types of employment and wage levels. Finally, our results suggest that some form of discriminatory practices may contribute to the wage gap both directly through the unexplained component and indirectly through job selection.

Journal

Journal of African EconomiesOxford University Press

Published: Nov 10, 2010

Keywords: JEL classification J16 J24 J31 J42 J71

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