An Analysis of the Male-Female Earnings Differential in Pakistan

Javed Ashraf, Birjees Ashraf

Abstract


Several articles have examined the status of women in
developing countries. But while numerous studies have attempted to
estimate the extent of wage discrimination against women in the west,
few such studies have been conducted for Third World cOWltries. The only
such published study for Pakistan appears to be Ashraf and Ashrafs
(1993) examination of the gender earnings differential for Rawalpindi
City. Given the very restricted sample (based on just one city in
Pakistan) and the relatively dated data (from 1975) used in that study,
a need clearly exists for a more comprehensive examination of earnings
by gender. This article represents the first intensive look into
male-female earnings differentials, not only for Pakistan as a whole,
but for each of its four provinces individually as well. Gender earnings
differentials have also been calculated for a number of industrial
subgroups. Computations have been made for the years 1979 and 1985-86.1
This allows the trend in the gender earnings gap to be tracked over that
period. Data from the Household Income and Expenditure Surveys are used
in the estimations for both the Oaxaca (1973) model as well as the more
recently developed Cotton (1988) and Neumark (1988) models. A new twist
is the incorporation of correction for selectivity bias in the sample
data which strengthens the methodological underpinnings of the
model.

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DOI: https://doi.org/10.30541/v32i4IIpp.895-904

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