The Gender Reservation Wage Gap: Evidence Form British Panel Data
11 Pages Posted: 31 Jan 2011
Date Written: Janaury 15, 2011
Our findings suggest the existence of a gender reservation wage gap. The presence of children, particularly pre-school age children, plays an important role in determining the proportion of this gap that can be explained by individual characteristics. For individuals without children, the unexplained component of the differential is 99% compared to only 22% for those with pre-school age children, which might indicate that perceived discrimination in the labour market influences the reservation wage setting of females.
Keywords: reservation wages, wage decomposition
JEL Classification: J13, J24, J64
Suggested Citation: Suggested Citation