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An Empirical Study of Gender Difference in Income and Education Earning Rate of Urban Residents

Author: BianXiaoJiao
Tutor: LiZhongMin
School: Tianjin University
Course: Quantitative Economics
Keywords: Gender discrimination Gender income gap Gender gap of Education return Decomposition of gender gap
CLC: F126
Type: Master's thesis
Year: 2010
Downloads: 119
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Abstract


Gender inequality in the field of Income distribution is also an important aspect of the field of the whole income inequality society. At present, the public mostly concern the income gap between rich and poor, between regions and often ignore gender income gap problem. However, the gender income gap and other types of income gap have many homologies. The gender income gap can help us to understand other forms of income disparity. Eliminating gender inequality also helps us to improve equality and justice in the field of income distribution.Inspecting academic research method and idea, this paper based on the 2006 urban population research data, using modified multiple regression analysis to analyze the gender income disparity. Results showed that about 40% of gender income gap is caused by market competition mechanism, about 60% of which is caused by discrimination. Compare gender income inequality and gender discrimination of different sectors, we found that relationship between the gender income gap and commercialization is nonlinear. Data results showed that gender income gap and gender discrimination has expanded trend in general adoption of the market principle.Based on Oaxaca-Blinder decomposition and Cotton decomposition method, we decompose the gender pay gap for different educational level. The result shows that a possible reason why female’s education returns is lager than male’s education return is that women’s educational level and his wage discrimination is in the reverse relationship. Therefore, women of low education level are confronted with more wage discrimination and the pay difference between different educational levels of the women is lager than men. So women have much higher education return.The findings of this paper revealed the current gender discrimination exist in our country’s labor market, providing strong theory support and empirical evidence for design and implementation of equitable labor system and salary system with science degree and foster a fair competition and elimination of gender discrimination.

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