New Century, Old Disparities: Gender and Ethnic Wage Gaps in Latin America

74 Pages Posted: 2 Aug 2010

See all articles by Hugo Ñopo

Hugo Ñopo

Inter-American Development Bank (IDB); IZA Institute of Labor Economics

Juan Atal

University of Pennsylvania

Natalia Winder

affiliation not provided to SSRN

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Abstract

This paper surveys gender and ethnic wage gaps in 18 Latin American countries, decomposing differences using matching comparisons as a non-parametric alternative to the Blinder-Oaxaca (BO) decomposition. It is found that men earn 9-27 percent more than women, with high cross-country heterogeneity. The unexplained pay gap is higher among older, informal and self-employed workers and those in small firms. Ethnic wage differences are greater than gender differences, and educational attainment differentials play an important role in explaining the gap. Higher ethnic wage gaps are found among males, single-income generators of households and full-time workers, and in rural areas. An important share of the ethnic wage gap is due to the scarcity of minorities in high-paid positions.

Keywords: gender, ethnicity, wage gaps, Latin America, matching

JEL Classification: C14, D31, J16, O54

Suggested Citation

Nopo, Hugo and Atal, Juan and Winder, Natalia, New Century, Old Disparities: Gender and Ethnic Wage Gaps in Latin America. IZA Discussion Paper No. 5085. Available at SSRN: https://ssrn.com/abstract=1651710

Hugo Nopo (Contact Author)

Inter-American Development Bank (IDB) ( email )

1300 New York Avenue NW
Washington, DC 20577
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Juan Atal

University of Pennsylvania ( email )

Philadelphia, PA 19104
United States

Natalia Winder

affiliation not provided to SSRN

No Address Available

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