Society, Politics & Law
Economics explains discrimination in the labour market
...artificially added to this equation. The equation can, as a result, be re-arranged to give us the expression: (WM − WF) = (a0 − b0) + b1(EM − EF) + (a1 − b1) EM The equation shows that the average wage differential – the difference in average earnings between men and women – is made up of three components. The first term: (a0 − b0) is the part of the gender...