Male-Female Urban Income Distributions in Canada: The Service Sector in a Dependency Model

Abstract

International trends of increasing income inequality have not occurred equally for male and female income distributions in Canadian cities. Urban male income inequality declined from 1970 to 1980; it increased in the next decade, but only to its 1990 level. Female income inequality has declined consistently. These urban income distributions can be well-explained using a dependency model in which the female income distribution is influenced by the male income distribution and the income gap between males and females. This dependence effect is modified by urban characteristics. Male and female income distributions are more alike in larger cities and in cities with relatively higher female median incomes. Beginning in 1990, service-sector employment contributes significantly to income inequality for both gender groups, with a slightly greater effect for females.