Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia

Semiparametric estimation has gained significant attention in the study of wage inequality between men and women in recent years. By extending the wage gap at the mean towards the entire wage distribution using quantile regression, it enables researchers to ascertain the direction and the proportion...

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Main Author: Goy, Siew Ching
Format: Article
Language:English
Published: World Scientific 2015
Subjects:
Online Access:http://ir.unimas.my/id/eprint/10586/
http://ir.unimas.my/id/eprint/10586/1/NO%2038%20Differences%20in%20decline.pdf
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author Goy, Siew Ching
author_facet Goy, Siew Ching
author_sort Goy, Siew Ching
building UNIMAS Institutional Repository
collection Online Access
description Semiparametric estimation has gained significant attention in the study of wage inequality between men and women in recent years. By extending the wage gap at the mean towards the entire wage distribution using quantile regression, it enables researchers to ascertain the direction and the proportions of differences in characteristics and returns to these characteristics at different parts of the wage distribution. This line of research has been prominent in western society but has not yet been explored in the context of the Malaysian labor market. To fill the gap, this paper examines the gender earnings gap in Malaysia between 1994 and 2004 using Malaysia Population and Family Survey data. The gender earnings differential, as measured by the log percentage point is 53% in 1994. The difference reduces to 45% for a restricted sample and 42% for the unrestricted sample in 2004. However, it was found that the gender wage gap reduces as we move up the wage distribution. This suggests that women suffer from a sticky floor effect, i.e., the gender wage gap is bigger at the bottom of distribution. More importantly, the observed gender wage differentials do not reflect differences in the productive characteristics of the workers. In fact, it accounts for very little, if any, of the gap in Malaysia. However, the extent of the price effect is larger at the bottom end of the distribution than at the top.
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spelling unimas-105862016-10-24T02:18:48Z http://ir.unimas.my/id/eprint/10586/ Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia Goy, Siew Ching H Social Sciences (General) Semiparametric estimation has gained significant attention in the study of wage inequality between men and women in recent years. By extending the wage gap at the mean towards the entire wage distribution using quantile regression, it enables researchers to ascertain the direction and the proportions of differences in characteristics and returns to these characteristics at different parts of the wage distribution. This line of research has been prominent in western society but has not yet been explored in the context of the Malaysian labor market. To fill the gap, this paper examines the gender earnings gap in Malaysia between 1994 and 2004 using Malaysia Population and Family Survey data. The gender earnings differential, as measured by the log percentage point is 53% in 1994. The difference reduces to 45% for a restricted sample and 42% for the unrestricted sample in 2004. However, it was found that the gender wage gap reduces as we move up the wage distribution. This suggests that women suffer from a sticky floor effect, i.e., the gender wage gap is bigger at the bottom of distribution. More importantly, the observed gender wage differentials do not reflect differences in the productive characteristics of the workers. In fact, it accounts for very little, if any, of the gap in Malaysia. However, the extent of the price effect is larger at the bottom end of the distribution than at the top. World Scientific 2015 Article PeerReviewed text en http://ir.unimas.my/id/eprint/10586/1/NO%2038%20Differences%20in%20decline.pdf Goy, Siew Ching (2015) Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia. The Singapore Economic Review, 60 (4). ISSN 1793-6837 http://www.worldscientific.com/doi/abs/10.1142/S021759081550054X?journalCode=ser DOI: 10.1142/S021759081550054X
spellingShingle H Social Sciences (General)
Goy, Siew Ching
Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title_full Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title_fullStr Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title_full_unstemmed Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title_short Differences In Decline: Quantile Regression Of Male–Female Earnings Differential In Malaysia
title_sort differences in decline: quantile regression of male–female earnings differential in malaysia
topic H Social Sciences (General)
url http://ir.unimas.my/id/eprint/10586/
http://ir.unimas.my/id/eprint/10586/
http://ir.unimas.my/id/eprint/10586/
http://ir.unimas.my/id/eprint/10586/1/NO%2038%20Differences%20in%20decline.pdf