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Wage Discrimination Measurement: In Defense of a Simple but Informative Statistical Tool


Michel Le Breton


University of Toulouse I - GREMAQ-IDEI

Alessandra Michelangeli


Università degli Studi di Milano-Bicocca - Center for Interdisciplinary Studies in Economics, Psychology & Social Sciences (CISEPS); Università degli Studi di Milano-Bicocca - Department of Economics, Quantitative Methods and Business Strategies (DEMS)

Eugenio Peluso


University of Verona - Department of Economics; Università degli Studi di Milano-Bicocca - Department of Economics, Quantitative Methods and Business Strategies (DEMS)

June 5, 2008

Econpubblica Working Paper No. 128

Abstract:     
We examine several functional and numerical measures of wage discrimination in the spirit of the Lorenz curve. The First Order discrimination curve is based on the comparison of the wage CDF of two subpopulations. Three different Second Order discrimination curves are derived to refine the first one by taking into account inequality and/or efficiency in the wage distribution across the two groups. We explore the relationship between these curves and some popular discrimination indices. We use standard economic size distributions to recover closed forms of discrimination curves. The main results are illustrated on PSID data, year 2005.

Number of Pages in PDF File: 33

Keywords: Discrimination measurement, Gastwirth index, Statistical Size Distributions

JEL Classification: J71, D31, D63, C16

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Date posted: February 5, 2009  

Suggested Citation

Le Breton, Michel and Michelangeli, Alessandra and Peluso, Eugenio, Wage Discrimination Measurement: In Defense of a Simple but Informative Statistical Tool (June 5, 2008). Econpubblica Working Paper No. 128. Available at SSRN: http://ssrn.com/abstract=1337986 or http://dx.doi.org/10.2139/ssrn.1337986

Contact Information

Michel Le Breton (Contact Author)
University of Toulouse I - GREMAQ-IDEI ( email )
Manufacture des Tabacs
21 Allees de Brienne
Toulouse, 31000
France
Alessandra Michelangeli
University of Milan, Bicocca - Center for Interdisciplinary Studies in Economics, Psychology & Social Sciences (CISEPS) ( email )
Piazza dell'Ateneo Nuovo, 1
Milano, 20126
Italy

University of Milan, Bicocca - Department of Economics, Quantitative Methods and Business Strategies (DEMS) ( email )
Piazza dell'Ateneo Nuovo, 1
Milan, 20126
Italy

Eugenio Peluso
University of Verona - Department of Economics ( email )
Via dell'Artigliere, 8
37129 Verona
Italy
University of Milan, Bicocca - Department of Economics, Quantitative Methods and Business Strategies (DEMS) ( email )
Piazza dell'Ateneo Nuovo, 1
Milan, 20126
Italy

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