2017
DOI: 10.1108/ijm-11-2015-0197
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Do you get what you ask? The gender gap in desired and realised wages

Abstract: This paper will study gender differences in wage bargaining by comparing the unexplained wage gap in desired, realised and reservation wages. The notion of desired wages shows workers' first bet to potential employers during the job-search process. It is found that: (1) The unexplained gender wage gap is around 20% in desired and realised wages, which supports the view that gender income gap in expectations compares well with realised income gap. (2) The unexplained gender wage gap is larger in desired wages t… Show more

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Cited by 10 publications
(13 citation statements)
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References 36 publications
(54 reference statements)
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“…It approaches 30 log points around the 60th percentile and stays at a similar level for the upper part of the wage distribution. This shape of distribution is similar to the results from Christofides et al (2013) and Meriküll and Mõtsmees (2017). Therefore, there is no evidence of a sticky floor or glass ceiling effect (wage gap especially low at the very bottom or top of the wage distribution).…”
Section: Baseline Results and The Role Of The Skillssupporting
confidence: 90%
See 1 more Smart Citation
“…It approaches 30 log points around the 60th percentile and stays at a similar level for the upper part of the wage distribution. This shape of distribution is similar to the results from Christofides et al (2013) and Meriküll and Mõtsmees (2017). Therefore, there is no evidence of a sticky floor or glass ceiling effect (wage gap especially low at the very bottom or top of the wage distribution).…”
Section: Baseline Results and The Role Of The Skillssupporting
confidence: 90%
“…Our opposite finding of large differences in conditional wages within an establishment fit the Estonian institutional environment well, since it has low minimum wages and the role of unions is weak (see also Section 2.2). There is also evidence that women ask for lower wages than men in one on-line job portal in Estonia, which can reflect their worse bargaining skills (Meriküll and Mõtsmees 2017). The choice of the counterfactual group of coefficients affects the relative size of bargaining effect.…”
Section: Baseline Results and The Role Of The Skillsmentioning
confidence: 99%
“…Work-discontinuities for women due to having children have been shown as a major driver of the aggregate gender wage gap (Goldin 2014). However, we acknowledge that, on the other hand, in the Estonian data these have tended to explain only a relatively small share of the gender wage gap (Anspal 2015, Meriküll andMõtsmees 2017). The gender wage gap is traditionally found to be much higher for women with children below the age of 18.…”
Section: Potential Explanations Of the Effects And Robustness Checksmentioning
confidence: 80%
“…These results are the consequence of the very different wage distributions for men and women in Estonia. The gender wage gap is very large in Estonia (Meriküll and Mõtsmees, 2014).This means that a man at, for instance, the 20 th percentile of the wage distribution for men earn much more than a woman at the 20 th percentile of the distribution for women.…”
Section: Gender and Agementioning
confidence: 99%
“…The wage distribution is however very wide compared to the peers in Western Europe. Moreover, the wage gap that cannot be explained by standard controls such as education and labour market experience is very large across the genders (Meriküll & Mõtsmees, 2014). Estonia has become a country with a high degree of nominal wage flexibility in Europe (Druant et al, 2012) and external shocks appear in large part to be accommodated through adjustment in wage costs (Babetskii, 2006).…”
Section: The Estonian Economy and Labour Marketmentioning
confidence: 99%