Trade Openness and Gender Wage Gap : The Impact of Competition on Sectoral Wage Differences

This paper which is based on the visual angle of differences in market competitiveness and refers to the theoretical model of the influence of trade openness on the gender wage gap makes a verification by using income distribution survey data in China. Through the verification, gender wage gap is divided into three skill groups, namely, high-skill, mid-skill and low-skill, depending on education level. The conclusions are as follow. First, the influences of trade openness on gender wage gap in uncompetitive sector and competitive sectors are different. Second, the influences of trade openness on these three skill groups are different. Third, technical development enlarges the difference of gender wage between the high- and mid- skill groups and abridges that in the low- skill groups. Finally, regardless of whether the measurement of trade openness is in importation or exportation, the trade influence on gender wage gap is of the same direction. The results of this paper are of great political significance, especially in aspects of females education and improvement of skills. Therefore, it is essential to provide opportunities for females in aspects of education and skills training ,in order to lessen the gender wage gap and fully take advantage of trade openness opportunities.