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Discrimination in labour market

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Discrimination in the labor market

Brigita Saikeviciute E4215
Valeriya Dimitrova E4238
Vasileios Mavromatidis E4616

University of Minho, Braga, Portugal
June 2012

SUMMARY
This paper analyzes three types of discrimination (age, sexual orientation, gender and race) in the labor market in the different countries all over the world. The results show that the skin color discrimination is the most widespread type of discrimination followed by the sexual orientation discrimination. Unexpected result was about gender discrimination which is the least likely in the EU but the evidence indicates that sex discrimination remains a possible explanation of the unexplained gender pay gap between men and women.

Key words: labor market, discrimination, women, skin color, sexual orientation.
JEL: J71

Introduction
It’s all about the money, isn’t it nowadays? We need to buy our food, pay our bills and educate our children. Money is the “necessity bad” today. But even in our modern, global, without barriers world, world in which they teach us that everything is possible, there is still big inequity. The chance for some people to achieve job and to feed their families is much lower than to the others. Even nowadays not only dream and ambitions are enough. When it comes for having a job and building career there is also comes the problem with discrimination in the labor market. This topic is one of the most difficult for researches and usually is hard to be proved that this still exists nowadays.
In the following paper we will discuss discrimination in the labor market in different countries and areas. Some nations are more tolerant than the others. Some nations are more acceptable to one type of different people, than the other. To show how different nations act in different discrimination cases is the main subject of this paper. We think that this topic is very important nowadays, because of the globalization and opportunities which exists in the modern world. And while communism was teaching people that all must be equal and have equal rights, capitalism and democracy suppose to give more chances for realization to the people with higher ambitions and to be more tolerant to differences. We are not the same. People have different color skin, speak different languages, had different sexual orientation or even some disabilities. But everyone must have chance to receive job, build a career and prove himself. You cannot threat black person because of the color of his skin. Today some of the most famous people are with some kind of “difference”.
This makes discrimination in the labor market very important topic nowadays. Even difficult to be proved and difficult to be eliminated fully, we want to see in what direction the things changed nowadays, comparing with the past. We want to make a research why people are still discriminated and how this effect can be reduced.

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Theoretical framework
“Discrimination in the labor market exist when two equally qualified individuals are treated differently in the labor market on the basis of some personal characteristic, unrelated to productivity”(Arrow 1973).

Another standard definition was made by

Ehrenberg and Smith in 1994 “individual workers who have identical productive characteristics are treated differently because of the demographic groups to which they belong”. In the labor market these days we can find a lot of different jobs which require different sets of skills as well as has different wages and opportunities. But sometimes differences in earnings may arise even between equally skilled workers in the same job because of one of the workers race, gender, sexual orientation or other seemingly irrelevant characteristics. In the Multinational Corporation (MNC) must be applied equal opportunity policies which are trying to protect human rights and prevent from discrimination and must be taken in mind all the specific characteristics of the country in which company decide to expand its activity.
The most well-known theoretical framework has been provided by Becker (1957) in his dissertation “The Economics of Discrimination” in which he modeled discrimination as the result of some majority group members’ “taste” against working with members of a minority group. Measuring discrimination accurately is problematic, partly because it is not possible to take into consideration all the variables than can affect potential productivity. If, for example, men are more motivated, then discrimination will be overestimated due to omitted factors. If women have greater interpersonal skills, then discrimination would be underestimated. The most common way to measure discrimination is to divide wage in to explained component (differences in personal and work characteristics) and unexplained components by Blinder’s (1973) and Oaxaca’s
(1973) methods. But traditional labor market statistics usually provides just information about some characteristics such as job experience, age, sex, and schooling. In this way there is lack of information on different variables that could affect characteristics which could lead to the unexplained wage gap which is appeared not because of discrimination.

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Sexual orientation discrimination
Part of gender issues can be considered also homosexual problem. Discrimination, based on sexual orientation is very often even nowadays. A lot of campaigns and organizations are trying to reduce it, but the data shows that this type of discrimination is still big.
Main conception for discrimination based on sexual orientation is explained with two hypotheses. First one is that sexual minority individuals are paid differently because they do not conform to traditional gender roles. The other explanation is the expectation for traditional gender roles as marriage and having a child drive the relationship between sexual orientation and earnings.
We will look over a couple of researches, which are made over the following topic. First one is:” Sexual orientation discrimination in the labor market” by Nick Drydakis. This research demonstrates the existence on sexual discrimination in the labor market and the effect on everyday life on gays and lesbians. It’s trying to confirm previous researches made on this topic. The author highlights the changes during the years. In the past discrimination based on sexual orientation was higher.
Experiment is done in Greece, Athens. Statistically in Greece tolerance to the homosexuals is lower, comparing to the other part of Europe. Greece seems to be one of the most puritan countries when it comes to homosexuality. Euro barometer data showed
84% discrimination in Greece, comparing with 68% for the EU.
According to previous researches, made in US 1989 -1991 gay was receiving 28 % less than heterosexual and lesbian 35% less. With the time this percentage was changed and
2005 research show that gay earned 5% less than heterosexual man, while lesbian earned
9% more than heterosexual woman. Another research also found the same statistical data.
This can be explained that from homosexual females is less expected to have children and to be out of work, than from heterosexuals (Doris Weichselbaumer, June 2003).
Blandford (2003) reports that lesbian and bisexual women are more successful in entering male-dominated, well-paid occupations comparing with their heterosexual peers.

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Only 2 papers before had a data about hiring process. One is for Austrian labor market, where the numbers showed 12-13 % discrimination and the other is Canada, where discrimination is about 7%. The authors want to make more detail research exactly about discrimination in hiring process.
The method, which authors used in this paper is making an experimental research with which they want to see what is the chance gay man to be hired comparing to heterosexual man with the same qualifications and what is going to be the differences in proposed salary. They choose random job offers in the low qualified sector and send 2 CV and cover letters for two candidates with equal qualification and experience. The only difference is that for one of them they are putting that it was in the past volunteer in homosexual organization.
The current study focused on the hiring stage and ignored potential discrimination that could arise later on. Also it cannot test company truthfulness until the candidate is actually hired.
The results showed total discrimination of 64%. Also they are given by job category and it’s observed that the highest discrimination we have in office positions jobs. This is because they constitute a higher status sector. The percentage there is about 74%. Lowest discrimination we have in shop sales with 54,5 % discrimination. Some jobs are defined as more gay friendly like shop sales and other like industry vacancies are accepted as masculine jobs
The research also shows estimated probability of gay applicants receiving an invitation for interview with 26,2% lower than heterosexual candidate. This confirms the previous researches and differences between gay and straight applicants.
The research also observes that more discriminative are male employers than female ones. The candidate has 34% lower chance to receive the job, if the employer is a male, than female.

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Interesting from this survey is that there is no significant relationship between informal wage offers and sexual orientation. There are a little difference, but it’s only 1,6%, which cannot be observed as a discrimination.
Using the same method was done another similar research in Austria. The only difference is that the main target there is lesbians. The results showed that the difference between masculine and feminine when it comes for invitation for interview is 0.74.

The

difference for job offer is bigger – 12.13%. This corresponds with the results which are made by Adam’s (1981) survey, where he found difference from 11%. Other interesting conclusion, which contributes to the results in other article() is that actually lesbians high payment is not a result of privilege and probably is some kind of following consequences and lesbians actually are discriminated in the labor market. From the tables below, can be observed the main results from the paper:

Invitation
1st round
N=272

rates-

Invitation
2nd round

rates-

N=171

Feminine straight, FS

0,4338

Feminine straight,
FS

0,6082

Masculine straight, MS

0,4265

Masculine gay,
MG

0,4795

Difference, FS-MS

0,0074

Difference, FSMG

0,1287

Table 1. The effect of sexual orientation.
Source: Weichselbaumer D.: Sexual orientation discrimination in hiring, Labor Economics 10, (2003),
629–64

*Significant at the 5% level.
N = number of firms contacted by pair of applicants.

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Invitation rates- 1st round N=272
Masculine
MS

Invitation
3rd round

rates-

N=170 straight, 0.4265

Masculine straight, 0,4882
MS

Feminine straight, FS

0.4338

Feminine
FL

lesbian, 0,3647

Difference, MS-FS

0.74

Difference, MS-FL

0,1235

Table 2. Effect of sexual orientation on feminine female.
Source: Weichselbaumer D.: Sexual orientation discrimination in hiring, Labor Economics 10, (2003),
629–64

*Significant at the 5% level.
N = number of firms contacted by pair of applicants.
In the wage gap the situation is the following: and a wage differential of -2% comparing gay and heterosexual unmarried men and wage difference of -16% comparing gay and heterosexual married men.
Serious is the situation when it comes to military services. The unequal treatment there is really high. In USA at 80’s more than 15 000 homosexuals were dismissed from the military. At 1994 president Clinton make “don’t ask, don’t tell” compromise decision and the number was reduced. But is this real compromise?
The researchers showed also that there are higher tolerances for the females, which are changing their gender to males, than to males, which are becoming females.
The result is that a lot of gays are still hiding their sexuality and had dual life. They are acting like heterosexual at their jobs, just to be accepted. This makes sexual orientation discrimination in better position comparing to the other types of discrimination, because it can be hided and prevented. You cannot hide the skin of your color, but you can hide your homosexuality.

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Overall the results prove that history from the past cannot be turned around overnight.
From 60% acceptance of the different sexual orientation in the working place in USA in
1970 to 80% in 1990. This is big difference and improvement in the people attitude and acceptance toward gays and lesbians. People still have some prejudices and despite all the lows and directives against it, discrimination still exists with not small percentage.
Skin color discrimination
Discrimination nowadays is result from long unequal treatment of some cultures through the ages. History from the past affects to the generations nowadays. In the past most familiar unequal treatment was using black people for slaves in Europe and America.
Slaves are used almost in every ancient civilization – there is historical data for Egypt,
Mesopotamia, Ancient Greece, and Rome. 1619 in USA start the use of Africans and
Indians as slaves, mainly in the agriculture. These last more than 2 centuries. Officially at
1865 Is accepted the low for freedom for all the slaves. But as a social mentality slaver system still continue to exist as a racial discrimination. The new theories proved that competition in capitalist economy nowadays decrease the effect of discrimination. 21.03 are accepted as an International Day for the elimination of Racial Discrimination from
UNESCO.
Euro barometer report showed that among Europe the countries which are with higher level of discrimination are Greece, Dutch, French, Italy. Those countries had more than
75% discrimination and with lower percentage are Lithuania, Latvia and Poland (lower than 25%). One of the interesting researches about the topic is made with asking respondents about their personal opinion for discrimination in their country. They asked them about their personal opinion and also experience over them and their friends. It’s interesting that to the question:” is situation better nowadays, than before 5 years?” more than 50% replied that the situation is worse. The same research done before 5 years shows equal results. People are not feeling less discriminative nowadays, even though there are a lot of actions for preventing unequal treatment. Between the most discriminative – The Netherlands and the less one – Lithuania the difference is really enormous – 79% for the first comparing with 23% for the second one.
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John Hersch in his paper:”The persistence of skin color discrimination for immigrants” makes a research about the discrimination over the immigrants with black color skin in
USA.
Immigrant workers with darker skin color have lower pay than their counterparts with lighter skin color. Whether this pay penalty is due to labor market discrimination is explored using data from the New Immigrant Survey 2003 to estimate wage equations that control for skin color, sequentially taking into account a series of individual characteristics related to labor market productivity and personal background. These characteristics include Hispanic ethnicity, race, and country of birth, education, family background, occupation in source country, English language proficiency, visa status, employer characteristics, and current occupation. Using the regression analysis he found out interesting fact that people which are native US tend to be with lighter skin, than the immigrants, despite of Hispanic and Latino ethnicity and race. The analysis finds that the labor market penalty to darker skin color cannot be attributed to differences in productivity and is evidence of labor market discrimination that arises within the U.S. labor market. The largest groups of post-1965 immigrants – those from Asia and Latin
America – are penalized in the U.S. labor market for their darker skin color. The main limitation in the research is that the group of the native US spouse is represented only by
167people. This may be problem, because there is no full coverage of the population and this makes the results not so relevant. The results showed that immigrants with lightest skin color earn 17% more than those with dark skin color. In other researches on the same topic we can found that they separate the results to 3 skin color groups, including
Latin and Hispanic people in separate group (Bonilla-Silva and Dietrich, 2008).
Also it’s found that dark people with lower level of education are the most discriminated when it comes to a chance to receive a job. The researchers showed that applicant with white skin color should send 10 resumes to receive 1 call, comparing with 15 for those with dark skin color. Studies also found out interesting connection in US labor market with skin color and neighborhood in which the applicant lives. If the applicant lives in good neighborhood with more educated people, than the chance to receive a job position

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is relatively higher than if it comes with neighborhood which is famous with poor black residence and lot of low educated and crime neighborhood.
Really interesting is the fact that women discrimination is not valid in this situation.
When it comes to male and female workers with white color skin, usually there is discrimination for females for higher positions. When it comes to the same position with black skin color less chance to receive the job offer has the male applicant.
While is possible to change your gender nowadays, it’s completely impossible to change your skin color. The fact that discrimination exists has a negative impact over the behavior of youth people. When the person knows that he will be evaluated and probably discriminated because of the color of the skin, it can provoke in it aggressive behavior and de motivate him to receive better education.
Data shows that in US labor market unemployment for white males is 3%, comparing with 6,9 for afro-Americans and 7,5 for Indians. This is a big difference and shows that there is inequality even nowadays. The fact that the present President of USA is black makes the situation nowadays better and shows that modern Americans are open minded and they are trying not to discriminate people because of the color of their skin.
EMPLOYMENT STATUS FOR POPULATION

Race of ethnicity
White

In labor force

Employed

Unemployed

64.6

61.1

3

Male

72.2

68

3.3

Female

57.5

54.7

2.6

60.2

52.5

6.9

Male

60.9

52.5

7.3

Female

59.6

52.8

6.5

63.3

59.7

3.2

71

66.8

3.5

56.4

53.3

3

66.2

57.7

7

Male

71.5

61.5

7.4

Female

60.9

53.8

6.6

61.1

53

7.5

Black, African American

Asian
Male
Female
Native Hawaiian, Other Pacific Islander

American Indian, Alaska Native

10

Male

65.6

56.1

8.4

Female

56.8

50

6.6

64.1

57.9

5.5

Male

70.2

63.2

5.8

Female

58.2

52.7

5.2

61.4

55.2

5.7

69.4

62.8

5.7

53

47.2

5.6

Two or more races

Hispanic
Male
Female

Table 3. Labor force participation, employment, and unemployment rates, by race and sex, 2000.
Source: Profile of Selected Economic Characteristics, Census 2000, Summary File 4, DP-3.

We can see from the table above that actually the difference in unemployment level is double for the black people and Indians. Less discriminated in the US labor market are
Asian people with only 3,2 unemployment level, comparing to 3 for the white USA citizens. The researchers observed the fact that some positions are more discriminative than the others. For example in the production, transportation or moving materials there are a lot of black mans. The explanation is that they are usually accepted as stronger physically and able to manage with the physical work. From the Table below you can see that Asian people, which in general are less discriminated occupy only 3,6% from the construction sector positions. Females from every kind of race occupied more sales or office positions and less hard work positions. This is because of the fact that some jobs are accepted as male and female jobs.

SELECTED OCCUPATIONS FOR EMPLOYED CIVILIAN POPULATION

Race of ethnicity

White

Management, professional and related

Service

Sales or office

Constructions, extraction or maintenance Production, transportation or materials moving 35.6

13.4

27

9.8

13.6

Male

33.6

10.6

18

17.5

19.3

Female

38.0

16.5

37.5

0.7

6.9

25.2

22

27.3

6.5

18.6

Black, African
American

11

Male

20

19.4

18.3

13.3

28.3

29.7

24.2

34.8

0.8

10.4

44.6

14.1

24

3.6

13.4

Male

47.1

12.4

19

6.4

14.8

Female

41.7

16.1

29.6

0.5

11.9

23.3

20.8

28.8

9.6

16.5

20.7

19.8

18

17.2

23.1

26.4

21.9

41.4

0.9

8.9

24.3

20.6

24

12.9

16.8

19.9

17.1

13.7

23.7

23.5

29.1

24.5

35.1

1.3

9.5

26.7

19.8

27.1

9.8

15.7

Male

24.1

16.5

19

17.5

21.6

Female

29.6

23.6

36.7

0.9

8.8

18.1

21.8

23.1

13.1

21.2

Male

14.6

19

14.8

21.9

26.1

Female

22.9

25.6

34.8

0.9

14.3

Female
Asian

Native Hawaiian,
Other Pacific
Islander
Male
Female
American Indian,
Alaska Native
Male
Female
Two or more races

Hispanic

Table 4. Selected occupational data by race, ethnicity and sex in 2000.
Source: Profile of Selected Economic Characteristics, Census 2000, Summary File 4, DP-3.

Sociological research finds that education and personal skills are playing a role but do not fully explain the differences in the labor market between whites and racial minorities with respect to earnings, labor force participation, training and promotion opportunities.
It’s found out that people which are discriminated are changing their behavior. They act more aggressively, they are less motivated to improve their education and feeling as a minority they are less motivated to found a job.
When it comes to the employer motives for discrimination we would like to show the theoretical part in the following paper: Racial Discrimination in Labor Markets with
Posted Wage Offers - Kevin Lang; Michael Manove; William Dickens; Boston
University Boston University the Brookings Institution.
The main conclusion which authors did in the article is that discrimination exists even if all other criteria for the people and wage offer are equal. They assumed perfect workers and lack of discriminative motives in the employers.

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First they analyze wage posting model in which there is no discrimination. They assumed that for the higher paid positions there are more candidates and the chances for receiving a job offer is lower.
After that they use the same analysis in discriminative environment. They assume equilibrium situation and they assume that when the wage is high black people are less able to apply, because they will face higher white workers competition. In this situation suppose black workers to be in better situation and face lower unemployment. But the results showed the opposite. Neither company with lower wages ratio, neither unemployment for black people is good. They found out that both company ratio and expected wages are lower in the situation without discrimination. The authors believed that discrimination equilibrium is more natural for most companies.
The figures above showed the situation which they proved after the research:
1.2
1
0.8
Whites

0.6

Blacks
0.4
0.2

Worker/Firm Ratio (r)

0
0

0.5

1

1.5

2

2.5

Graph 1. Ratio of expected incomes with discrimination and without.
Source: Lang K., Manove M., Dickens W.: Racial discrimination in labor markets with posted wage offers,
Boston University, the Brookings Institution.

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1.2
1
0.8
Whites

0.6

Blacks

0.4
0.2

Worker/Firm Ratio (r)
0
0

0.5

1

1.5

2

2.5

Graph 2. Ratio of wages offers with discrimination to those without.
Source: Lang K., Manove M., Dickens W.: Racial discrimination in labor markets with posted wage offers,
Boston University, the Brookings Institution.

Conclusions are the following:” if firms maximize profits and prefer white to black workers given equal profits, then in the case of equal productivities only the discriminatory equilibrium remains.” [Racial Discrimination in Labor Markets with
Posted Wage Offers - Kevin Lang, Michael Manove; William Dickens; Boston
University Boston University The Brookings Institution]
Second, discriminatory equilibrium is more profitable and especially when its make on the hiring stage
Third conclusion is that there is no necessity the company to have a real discriminative politics, but only to make people to believe that it has.
This contributes to the understanding that perfect not discriminative market has more working potential for the companies and gives other perspective to the topic. Is discrimination exists really or some companies speculate in order to achieve better ratio?
In general discrimination is very difficult to be proved and this topic has a lot of different approaches and perspectives.

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Gender discrimination in the labor market
Gender discrimination is wide spread and persistent (Eckstein and Nagypal 2004).
Despite the improvement from 1950’s women is still having more difficulties to find a job and they are likely to be paid less. But, what is more, the problem of inequality and, especially discrimination, affects other groups as well. That is, the phenomenon of discrimination in the labor market has several dimensions, according to which population group is affected, and, moreover, often inside problems spring up (for example, being a woman matures and belonging to an ethnic minority).
In this part of the report, we wish to deal with the problem of women discrimination and analyze the pay gap between male and female workers in different countries. For this purpose, we explored different papers and articles related to particular topic. Different experiments were related to gender discrimination have been carried out more than 30 years (Riach and Rich 2002).
Descriptive statistics

35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

Graph 3. Gender pay gap in gross hourly earnings between men and women in EU countries in 2010.
Source: Eurostat

The pay gap between men and women across Europe average was 18%. The figures were condemned on 5th of March in 2010 by the European Commission, which announced plans to bridge the gap over the next five years, possibly including new laws. The gap is
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based on the difference in gross hourly earnings between men and women, and ranges from just 4.9 % in Italy to 30 % in Estonia. The second widest pay gap in Europe is in
Czech Republic. At 21.4%, the UK gap is the ninth widest out of the 27 countries.
The gender pay gap on lifetime earnings means women will have lower pensions, resulting in women being more affected by persistent and extreme poverty - 22 % of women over 65 years old are at risk of poverty compared with 16% of men.

Chief Executives
Computer software…
Mechanical engineers
Airline pilots
Firefighters
Truck drivers
Auto mechanios
Nurses
Secretaries
Preschool teachers
Receptionist
Child care workers
Texile sewing machine…
Cleaners/Servants
0

20

40

60

80

The percentage of jobs held by women 100
0

1000

2000

Median wekly earnings

Graph 4. The percentage of jobs held by men and women and the median weekly earnings in U.S. in 2011
Source: Institute for women’s policy research.

Another widespread answer why women are discriminated is that wage gaps are due to the fact that many women decide to interrupt their career after the marriage or children.
Even though there is a gap within professions, and the part of pay gap can be explained by professional choice. Believe it or not there are “men’s jobs” and “women’s jobs”.
Usually “men’s jobs are better paid then women’s. We can see this in the graph above.
Nowadays some call it occupational sex segregation but it can be too strong because there no more nay legal restriction for employment of women for any jobs at least in the

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developed countries. Of course it can still exist the cultural pressure and women often can feel pressure to choose some occupations which are related with family responsibilities.
And those jobs tend to be less profitable.
Analysis. Researches related to women discrimination usually are made comparing and accounting the male – female ratio or the wage gap in different countries, industries, years or at the particular point of time. The econometric evidences on the situation of women in the labor market and the influence of discrimination as the determinant are voluminous. The most literature nowadays examines wage gaps at the fixed point of time or the change over two points. For example in some researches during the 90’s on gender wage gaps at the particular point of time for Central and European countries we could notice a large decline in the real wages but relatively improvement in the women’s wages. In this way the pay gap reduced (Ogloblin, 1999).
Another way of evaluating the role of discrimination in the labor market – the most widely used technique is developed by R. Oaxaca in 1973. This model uses the regression analysis to estimate the difference of female – male wage by proportions (Peter Kuhn,
1987).
Francine D. Blau and Lawrence M. Kahn in 1987 in their research of the role of the statistical evidence find out that wage discrimination against woman is not positively correlated with the probability that they will report the discrimination. The model used in their research assumed that even if there is a measured level of discrimination, women still has a lot of other sources of information about that if they are earning less than comparable men. This non statistical information always had a huge influence on women decisions about the job. After estimating the structural model, it shows that non statistical evidence is more important for the persons themselves. The structural model also indicates that young, well-educated women behave as if they experience considerably more non-statistical evidence of discrimination than others. The maid conclusion made by Kahn suggests that targeting of anti-discrimination policy toward such women might reflect sensitivity to evidence of discrimination not captured by standard wage regression techniques. 17

Using the main regression techniques was find out that the gender discrimination exist, but it should be taken in to consideration that specifically higher level of wage inequality is in the United Stated than in other developed countries. For the women in U.S. working
41-44 hours per week the male – female ratio is 84,6%, for the women who are working more than 60 hours the ratio is decreasing and it I was accounted for 78,3%. The situation in Spain nowadays is 85.23% in the main market of Spain – tourism ( F. Munoz
– Bullon, 2009). There was noticed that it is a tendency for the ratio to decrease for the older age groups. Older women suffer bigger pay gap than young ones.

Indeed, the

lower gender ratio in United States is influenced by the higher level of wage inequality in comparison with Scandinavia countries where the wage gap is much smaller.
There are a lot of arguments about the results of different research which states that discrimination exist and it can explain the pay gap between male and female. The newest researches are made by trying to estimate the influence of discrimination and productivity differences for the existing pay gap. In the one of the papers written by Luca Flabbi in
2010 was mentioned that it was developed the model of matching, bargaining and employer’s tastes. It is already possible to separate and estimate gender discrimination and productivity differences under standard assumptions. The most shocking results were related with the fact that women and men have totally different shape of earnings distribution. There was obvious evidence that the prejudice against women exist. But according to Current Population Survey data was estimated that the difference between productivity of male and female is 6.5%. The estimated productivity for female was
89.11% and for male 95.04% and more than half employers are being prejudiced. If the difference between male and female would be just because of the prejudice we should notice two thirds of the gap, if the difference would be one third of this gap left. After the research made the policy for the governments was propose – formulated like the subsidies for hiring women.

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Conclusions
1. The countries in which homosexual are less accepted are African countries after that mid east countries, followed from ex solviet union countries.
2. Developed countries are more tolerance to the differences, especially when it comes to homosexuals.
3. From June 2010 same sex marriage is legal in Portugal. Other countries are
Netherlands, Canada, Argentina, parts of USA
4. Homophobia is the terminology which is used for people with negative attitude against homosexuals.
5. Race discrimination is most widespread type of discrimination even nowadays.
6. Employers also had pre-employing information which can affect a lot about their decision 7. Usually choosing of personal is connected also with customers choices. In the white neighborhood more likely is to be hired white workers and the opposite.
8. Doesn’t matter black or white. People must be lead mainly from personal skills and abilities , not from the skin color, but all those years history obviously cannot be deleted for one night.
9. Women discrimination in the labor market the least widespread form of discrimination in Europe, but in the world is the second most widely spread type of discrimination. It is measured that gender discrimination takes 27% of all types of discriminations noticed in the labor market.
10. The explanation for the pay gap between male and female could be explained by two different points – difference in productivities of men and women and by the level of discrimination in particular region.

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20

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