Working Paper: CEPR ID: DP15338
Authors: Mario Pagliero; Maria Koumenta; Davud Rostam-Afschar
Abstract: We use a unique survey of the EU labor force to investigate the relationship between occupational licensingand the gender wage gap. We find that the gender wage gap is canceled for licensed self-employed workers.However, this closure of the gender wage gap is not mirrored by significant changes in the gender gap inhours worked. Our results are robust using decomposition methods, quantile regressions, different datasets,and selection correction.
Keywords: occupational licensing; gender gap; wages
JEL Codes: J16; J31; J44; J71
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Licensing (D45) | Information asymmetries (D82) |
| Licensing (D45) | Wage discrimination (J71) |
| Closure of gender wage gap for licensed self-employed workers (J79) | Gender hour gap (J16) |
| Women's preferences for flexibility or social constraints (J29) | Gender hour gap (J16) |
| Occupational licensing (J44) | Gender wage gap (for licensed self-employed workers) (J31) |
| Licensed self-employed women (J44) | Higher wages than unlicensed counterparts (J39) |