Wage differences and labor market participation rate in Brazil: an analysis based on the individual's sex

Authors

DOI:

https://doi.org/10.1590/0101-41615112grs

Keywords:

Labor force participation rate, Gender discrimination, Gender wage gap

Abstract

This article investigates the relationship between the gender pay gap and male and female labor force participation rates in the Brazilian labor market. Using data from the PNADCs from 2012.I to 2018.IV, we estimate the effects of the gender pay gap on the insertion of men and women in the labor market, detailing the analysis by ethnic and income groups. Our results provide evidence in favor of the hypothesis that wage penalties against women reduce the female participation rate. Our estimates suggest that the elimination of the gender pay gap can generate gains of 5 p.p. of female participation rate among richer women, and 2.3 p.p. for poorer women. The effects, as measured by the joint probability of couple participation in the labor market are generally negative, meaning a larger pay gap reduces the likelihood of joint participation.

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Published

09-03-2021

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Articles

How to Cite

Tenoury, G. N. C. da S., Madalozzo, R. C., & Martins, S. R. (2021). Wage differences and labor market participation rate in Brazil: an analysis based on the individual’s sex. Estudos Econômicos (São Paulo), 51(1), 33-72. https://doi.org/10.1590/0101-41615112grs