CAN CONTINUOUS TRAINING REDUCE THE GENDER WAGE GAP ?

This paper investigates the returns to formal and informal on-the-job training with an emphasis on gender wage differences. The analysis is based upon the French data set Formation continue 2000. We estimate a system of three simultaneous equations in order to take into account the endogenous selection in each type of training as well as the correlated effects of the unobserved heterogeneity between the training programs and the wages. Our results show that the return to formal training in France is higher for women and that the return to informal training is similar across gender.