Madagascar: Reassessing the gender wage gap - does labour force attachment really matter?

Differences in labour force attachment across gender are important to explain the extent of the gender earnings gap. However, measures of women's professional experience are particularly prone to errors given discontinuity in labour market participation. For instance, the classical Mincerian approach uses potential experience as a proxy for actual experience due to lack of appropriate data. Such biases in the estimates cannot be ignored since the returns to human capital are used in the standard decomposition techniques to measure the extent of gender-based wage discrimination.

Source: Agenda News