The “Make‐up” of a Regression Coefficient: Gender Gaps in the E uropean Labor Market

• Published in: The Review of income and wealth Vol. 61; no. 3; pp. 401 - 421
• Main Authors: Pittau, M. Grazia, Yitzhaki, Shlomo, Zelli, Roberto
• Format: Journal Article
• Language: English
• Published: 01.09.2015
• ISSN: 0034-6586; 1475-4991
• DOI: 10.1111/roiw.12094

We provide a comprehensive picture of the relationship between labor market outcomes and age by gender in the 28 E uropean countries covered by the E uropean S tatistics on I ncome and L iving C onditions. The analysis is based on a somewhat unconventional approach that refers to concentration curves in the G ini regression framework. It allows identification of ranges in the explanatory variables where local slopes change sign and/or size, i.e. the components that “make up” a regression coefficient. Gender is a crucial factor differentiating participation among workers, although employment–age profiles do not substantially differ. Relevant differences in age profiles concern working‐hours patterns: some countries are characterized by an almost specular behavior in men and women; other countries instead show similar patterns. Generally, earnings increase with age for both men and women. However, local regression coefficients are not monotonic over the entire age range and can even be locally negative in some countries.