IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/3544.html
   My bibliography  Save this paper

Glass Ceiling or Sticky Floor? Examining the Gender Pay Gap across the Wage Distribution in Urban China, 1987-2004

Author

Listed:
  • Chi, Wei
  • Li, Bo

Abstract

Using 1987, 1996, and 2004 data, we show that the gender pay gap in the Chinese urban labor market has increased across the wage distribution, and the increase was greater at the lower quantiles. We interpret this as evidence of the “sticky floor” effect.We use the reweighting and recentered influence function projection method proposed by Firpo, Fortin, Lemieux (2005) to decompose gender pay differentials across the wage distribution. We find that the gender differences in the return to labor market characteristics, also known as the “discrimination effect” or “unexplained gender pay gap”, contribute most to the increase in the overall gender pay gap. The Firpo, Fortin, and Lemieux method allows us to further decompose the gender pay gap into the contribution of each individual variable. We find that the “sticky floor” effect may be associated with a particularly low paid group of female production workers with relatively less education working in non-state owned enterprises.

Suggested Citation

  • Chi, Wei & Li, Bo, 2007. "Glass Ceiling or Sticky Floor? Examining the Gender Pay Gap across the Wage Distribution in Urban China, 1987-2004," MPRA Paper 3544, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:3544
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/3544/1/MPRA_paper_3544.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Xin Meng, 1998. "Gender occupational segregation and its impact on the gender wage differential among rural-urban migrants: a Chinese case study," Applied Economics, Taylor & Francis Journals, vol. 30(6), pages 741-752.
    2. Thomas Lemieux, 2002. "Decomposing changes in wage distributions: a unified approach," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 35(4), pages 646-688, November.
    3. Stephen G. Donald & David A. Green & Harry J. Paarsch, 2000. "Differences in Wage Distributions Between Canada and the United States: An Application of a Flexible Estimator of Distribution Functions in the Presence of Covariates," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 67(4), pages 609-633.
    4. Dong, Xiao-yuan & Bowles, Paul, 2002. "Segmentation and discrimination in China's emerging industrial labor market," China Economic Review, Elsevier, vol. 13(2-3), pages 170-196.
    5. Hiau Joo Kee, 2006. "Glass Ceiling or Sticky Floor? Exploring the Australian Gender Pay Gap," The Economic Record, The Economic Society of Australia, vol. 82(259), pages 408-427, December.
    6. Sergio Firpo & Nicole M. Fortin & Thomas Lemieux, 2009. "Unconditional Quantile Regressions," Econometrica, Econometric Society, vol. 77(3), pages 953-973, May.
    7. Maurer-Fazio, Margaret & Hughes, James, 2002. "The Effects of Market Liberalization on the Relative Earnings of Chinese Women," Journal of Comparative Economics, Elsevier, vol. 30(4), pages 709-731, December.
    8. José Mata & José A. F. Machado, 2005. "Counterfactual decomposition of changes in wage distributions using quantile regression," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 20(4), pages 445-465.
    9. Dong, Xiao-Yuan & MacPhail, Fiona & Bowles, Paul & Ho, Samuel P. S., 2004. "Gender Segmentation at Work in China's Privatized Rural Industry: Some Evidence from Shandong and Jiangsu," World Development, Elsevier, vol. 32(6), pages 979-998, June.
    10. Xin Meng & Junsen Zhang & Pak-Wai Liu, 2000. "Sectoral gender wage differentials and discrimination in the transitional Chinese economy," Journal of Population Economics, Springer;European Society for Population Economics, vol. 13(2), pages 331-352.
    11. Vera A. Adamchik & Arjun S. Bedi, 2003. "Gender pay differentials during the transition in Poland," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(4), pages 697-726, December.
    12. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
    13. Melly, Blaise, 2005. "Decomposition of differences in distribution using quantile regression," Labour Economics, Elsevier, vol. 12(4), pages 577-590, August.
    14. James Albrecht & Anders Bjorklund & Susan Vroman, 2003. "Is There a Glass Ceiling in Sweden?," Journal of Labor Economics, University of Chicago Press, vol. 21(1), pages 145-177, January.
    15. Meng, Xin & Miller, Paul, 1995. "Occupational Segregation and Its Impact on Gender Wage Discrimination in China's Rural Industrial Sector," Oxford Economic Papers, Oxford University Press, vol. 47(1), pages 136-155, January.
    16. Björn Gustafsson & Shi Li, 2000. "Economic transformation and the gender earnings gap in urban China," Journal of Population Economics, Springer;European Society for Population Economics, vol. 13(2), pages 305-329.
    17. Meng, Xin, 1998. "Male-female wage determination and gender wage discrimination in China's rural industrial sector," Labour Economics, Elsevier, vol. 5(1), pages 67-89, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Paul Carrillo & Néstor Gandelman & Virginia Robano, 2014. "Sticky floors and glass ceilings in Latin America," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 12(3), pages 339-361, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chi, Wei & Li, Bo, 2008. "Glass ceiling or sticky floor? Examining the gender earnings differential across the earnings distribution in urban China, 1987-2004," Journal of Comparative Economics, Elsevier, vol. 36(2), pages 243-263, June.
    2. Chi, Wei & Li, Bo, 2014. "Trends in China’s gender employment and pay gap: Estimating gender pay gaps with employment selection," Journal of Comparative Economics, Elsevier, vol. 42(3), pages 708-725.
    3. Fortin, Nicole & Lemieux, Thomas & Firpo, Sergio, 2011. "Decomposition Methods in Economics," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 4, chapter 1, pages 1-102, Elsevier.
    4. Sylvie Dmurger & Martin Fournier & Li Shi & Wei Zhong, 2006. "Economic Liberalization with Rising Segmentation in China's Urban Labor Market," Asian Economic Papers, MIT Press, vol. 5(3), pages 58-101, Fall.
    5. Shi Li & Jin Song, 2011. "Changes in the Gender Wage Gap in Urban China, 1995-2007," University of Western Ontario, Centre for Human Capital and Productivity (CHCP) Working Papers 201120, University of Western Ontario, Centre for Human Capital and Productivity (CHCP).
    6. Yi Chen & Sylvie Démurger & Martin Fournier, 2006. "The Evolution of Gender Eamings Gaps and Discrimination in Urban China : 1988-1995," Post-Print hal-00081928, HAL.
    7. Iwasaki, Ichiro & Ma, Xinxin, 2020. "Gender Wage Gap in China: A Large Meta-Analysis," CEI Research Paper Series 2020-5, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
    8. Sylvie DÉMURGER & Martin FOURNIER & Yi CHEN, 2007. "The Evolution Of Gender Earnings Gaps And Discrimination In Urban China, 1988–95," The Developing Economies, Institute of Developing Economies, vol. 45(1), pages 97-121, March.
    9. Collischon Matthias, 2019. "Is There a Glass Ceiling over Germany?," German Economic Review, De Gruyter, vol. 20(4), pages 329-359, December.
    10. 岩﨑, 一郎 & Iwasaki, Ichiro & 馬, 欣欣 & Ma, Xin Xin, 2019. "現代中国における男女賃金格差: メタ分析による接近," Discussion Paper Series 689, Institute of Economic Research, Hitotsubashi University.
    11. Philippe Van Kerm, 2013. "Generalized measures of wage differentials," Empirical Economics, Springer, vol. 45(1), pages 465-482, August.
    12. Ichiro Iwasaki & Xinxin Ma, 2020. "Gender wage gap in China: a large meta-analysis," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 54(1), pages 1-19, December.
    13. Chi, Wei & Li, Bo & Yu, Qiumei, 2007. "Decomposition of Changes in Earnings Inequality in China: A Distributional Approach," MPRA Paper 3806, University Library of Munich, Germany.
    14. Ge, Yuhao & Li, Hongbin & Zhang, Junsen, 2011. "Gender earnings gaps in Hong Kong: Empirical evidence from across the earnings distribution in 2006," China Economic Review, Elsevier, vol. 22(1), pages 151-164, March.
    15. Sonja C. Kassenboehmer & Mathias G. Sinning, 2014. "Distributional Changes in the Gender Wage Gap," ILR Review, Cornell University, ILR School, vol. 67(2), pages 335-361, April.
    16. Bedaso, Fenet Jima, 2024. "Occupational Segregation and the Gender Wage Gap: Evidence from Ethiopia," GLO Discussion Paper Series 1393, Global Labor Organization (GLO).
    17. Kaya Ezgi, 2021. "Gender wage gap across the distribution: What is the role of within- and between-firm effects?," IZA Journal of Development and Migration, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 12(1), pages 1-49, January.
    18. Asplund, Rita, 2009. "Sources of Increased Wage Differentials in the Finnish Private Sector," Discussion Papers 1206, The Research Institute of the Finnish Economy.
    19. Thanh P. Bui & Katsushi S. Imai, 2019. "Determinants of Rural-Urban Inequality in Vietnam: Detailed Decomposition Analyses Based on Unconditional Quantile Regressions," Journal of Development Studies, Taylor & Francis Journals, vol. 55(12), pages 2610-2625, December.
    20. Nicodemo, Catia & Raya, Josep Maria, 2012. "Change in the distribution of house prices across Spanish cities," Regional Science and Urban Economics, Elsevier, vol. 42(4), pages 739-748.

    More about this item

    Keywords

    glass ceiling; sticky floor; gender pay gap; wage distribution; Influence Function;
    All these keywords.

    JEL classification:

    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:3544. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.