Gender wage gap in Sweden shrinks significantly due to wage distribution changes.
The gender wage gap in Sweden decreased by around 20 percentage points from 1968 to 2010. Changes in overall wage inequality played a significant role in the gap until 1991, but after that, the gap closed more due to other factors. Correcting for selection into the labor force is crucial, as uncorrected estimates miss about half of the decrease in the gender wage gap over the period studied.