Scandinavian Working Papers in Economics

Working Papers in Economics,
University of Gothenburg, Department of Economics

No 285: Sexual Orientation and Earnings in Sweden

Ali M. Ahmed () and Mats Hammarstedt ()
Additional contact information
Ali M. Ahmed: Department of Economics, School of Business, Economics and Law, Göteborg University, Postal: Box 640, SE 40530 GÖTEBORG
Mats Hammarstedt: School of Management and Economics, Växjö University, Postal: SE–351 95 Växjö, Sweden

Abstract: This paper examine earnings differentials between homo- and heterosexual individuals by identifying sexual orientation with the help of information from register data. Register data enable us to avoid the misclassifications of sexual orientation often mentioned as a potential bias in survey based studies. The results show that gay men are at an earnings disadvantage as compared to male heterosexuals while the earnings differential between lesbians and heterosexual women is very small. Our results are in line with results from previous research but are more reliable since we use a more reliable measure of sexual orientation than previous research.

Keywords: Sexual orientation; Labour market; Earnings

JEL-codes: J15; J71

31 pages, First version: February 6, 2008. Revised: September 1, 2005.

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