Globalization and the Gender Wage Gap

By R. Oostendorp. 2004

396 citations recorded by the source corpus.

There are several theoretical reasons why globalization will have a narrowing as well as widening effect on the gender wage gap, but little is known about the actual impact, except for a number of country studies. The author provides a cross-country study of the impact of globalization on the occupational gender wage gap, based on the rarely used but most far-ranging survey of wages around the world, the International Labour Organization's October Inquiry. This annual survey was started in 1924 and contains a wealth of information on wages and the gender wage gap. For the period 1983-99, there is information on the gender wage gap in 161 narrowly defined occupations in more than 80 countries around the world. The author finds the following: (i) The occupational gender wage gap appears to be narrowing with increases in GDP per capita; (ii) There is a significantly narrowing impact of trade and foreign direct investment (FDI) net inflows on the occupational gender wage gap for low-skill occupations, both in poorer and richer countries, and for high-skill occupations in richer countries; (iii) There is no evidence of a narrowing impact of trade, but there is evidence of a widening impact of FDI net inflows on the high-skill occupational gender wage gap in poorer countries; (iv) Wage-setting institutions have a strong impact on the occupational gender wage gap in richer countries.

Subfields: Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/983144c2b841928323276cf5c76aa9629c337ced

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