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The Effect of Higher Education on Gender Wage-Gap

Livanos, Ilias and Nunez, Imanol (2010): The Effect of Higher Education on Gender Wage-Gap.

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Abstract

In this paper we investigate the effect of an academic degree on gender wage gap in Greece and the United Kingdom. Using Labour Force Survey (LFS) micro-data, first, we compare the returns to higher education for males and females, second, we decompose the gender wage gap between graduates and individuals with secondary education, and finally we analyse the effect of higher education on the (un)explained part of the wage gap. For that purpose, an extension of the Oaxaca-Blinder decomposition technique is used. We find that the unexplained part, which is often related to discrimination is lower for graduates in both countries.

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