Wage gap between men and women in Israel

Using the Mincer equation and the Oaxaca decomposition, this article examines what part of the gender wage gap in Israel during the years 2005-16 can be explained by differences in demographic attributes and preferences of men and women and what part cannot be explained by these variables, hence indicates gender discrimination. Findings show that during the examined period, there was no systematic change in the unexplained wage gap. However, in the years 2017-18, the unexplained wage gap between men and women began to decrease.