Working Paper: CEPR ID: DP11034
Authors: Claudia Olivetti; Barbara Petrongolo
Abstract: Women in developed economies have made major inroads in labor markets throughout the past century, but remaining gender differences in pay and employment seem remarkably persistent. This paper documents long-run trends in female employment, working hours and relative wages for a wide cross-section of developed economies. It reviews existing work on the factors driving gender convergence, and novel perspectives on remaining gender gaps. The paper finally emphasizes the interplay between gender trends and the evolution of the industry structure. Based on a shift-share decomposition, it shows that the growth in the service share can explain at least half of the overall variation in female hours, both over time and across countries.
Keywords: female employment; gender gaps; industry structure
JEL Codes: E24; J16; J31
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Persistence of gender gaps in wages and employment levels (J79) | Structural factors (industry composition and social norms) (L19) |
| Growth in the service sector (O14) | Increase in female labor participation (J21) |
| Growth in the service sector (O14) | Increase in female hours worked (J21) |
| Increase in female labor market participation (J21) | Narrowing of gender gaps in earnings (J31) |
| Increased female participation (J16) | Wage convergence (J31) |