The Pink Gap in Economic Development

Sammanfattning

This study analyses the effect of economic development on the gender wage gap among 37 OECD countries from 2002 to 2022, considering the difference between G7 and non-G7 members. Even though economic development has been perceived to aid in improving gender inequality, it still is not clear whether an increased level of economic development can lead to a reduction in wage differences between men and women. We study the effect of GDP per capita on the gender wage gap using the panel data approach, while adjusting for other control variables such as female unemployment and educational attainment. The analysis is based on the panel data model, and the results suggest that there is a difference between G7 and non-G7 OECD countries. Therefore, the connection between economic development and the gender wage gap is not consistent among the OECD group. According to the results, gender wage disparity cannot be analyzed only based on economic development due to different institutions and labor markets in the full OECD group and the non-G7 sample but has a significant coefficient in the G7 sample.