Working Paper: NBER ID: w5664
Authors: Francine D. Blau
Abstract: Empirical research on gender pay gaps has traditionally focused on the role of gender-specific factors, particularly gender differences in qualifications and differences in the treatment of otherwise equally qualified male and female workers (i.e., labor market discrimination). This paper explores the determinants of the gender pay gap and argues for the importance of an additional factor, wage structure, the array of prices set for labor market skills and the rewards received for employment in favored sectors. Drawing on joint work with Lawrence Kahn, I illustrate the impact of wage structure by presenting empirical results analyzing its effect on international differences in the gender gap and trends over time in the gender differential in the U.S.
Keywords: gender pay gap; wage structure; labor market discrimination; human capital
JEL Codes: J31
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| gender-specific factors (J16) | gender pay gap (J31) |
| wage structure (J31) | gender pay gap (J31) |
| wage structure (J31) | earnings of women (J31) |
| discrimination (J71) | gender pay gap (J31) |
| wage structure (J31) | labor market outcomes for men and women (J79) |
| initial wage differences (J31) | gender pay gap (J31) |
| higher returns to skills (J24) | gender pay gap (J31) |
| greater rents in favored sectors (R38) | gender pay gap (J31) |