Using a rich and comparable matched employer-employee data set, we analyse international differences in gender pay gaps in the private sector for a sample of five European economies: Belgium, Denmark, Ireland, Italy and Spain. Using different methods, we examine how wage structure, differences...

Using a rich and comparable micro-data set, we analyse international differences in gender pay gaps in the private sector for a sample of five European economies: Belgium, Denmark, Ireland, Italy and Spain. Using different methods, we examine how wage structure, differences in the distribution...

This paper proposes a principal-agent model of labour market discrimination. In this model, the firm manager is a taste-based discriminator and has to make unobservable hiring decisions that determine the shareholder’s profits, because workers differ in skill. The model shows that...