The primary objective of this paper is to describe a method of estimating female-male wage ratios. The estimating technique presented is two stage least squares (2SLS), in which equations are estimated for both men and women. After specifying and estimating the wage equations, the male-female wage differential is calculated that would remain if…

This paper reviews some of the past literature on male-female wage differentials in order to determine the early hypotheses which are the historical roots of the current theoretical and empirical work analyzing male-female wage differentials. Part 1 reviews the discrimination hypotheses, which emphasize differences in the labor market conditions…