The gender wage gap : a comparison of Australia and Canada

Kidd, Michael P. & Shannon, Michael (1996) The gender wage gap : a comparison of Australia and Canada. Industrial and Labor Relations Review, 49(4), pp. 729-746.

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Using data from the 1989 Canadian Labour Market Activity Survey and, for Australia, the 1989-90 Income Distribution Survey, the authors investigate the reasons for the significantly lower gender wage gap in Australia than in Canada. Key similarities and differences between these two countries, the authors argue, make them a good basis for a "natural experiment" to investigate the effects of different labor market institutions. In particular, Australia has a stronger union movement and a greater degree of centralization in wage determination than Canada, and most of its workers are covered by legally binding minimum working conditions. The authors conclude that several differences between the countries in labor market structure-notably, a lower rate of return to education, a lower rate of return to labor market experience, and a lower level of wage inequality in Australia than in Canada- are largely responsible for the smaller gender wage gap in Australia.

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ID Code: 53885
Item Type: Journal Article
Refereed: Yes
Keywords: gender wage gap, natural experiment, union movement
ISSN: 0019-7939
Subjects: Australian and New Zealand Standard Research Classification > ECONOMICS (140000)
Divisions: Current > QUT Faculties and Divisions > QUT Business School
Current > Schools > School of Economics & Finance
Deposited On: 09 Oct 2012 22:31
Last Modified: 09 Oct 2012 22:31

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