Arbeitspapier

The Gender Pay Gap: Micro Sources and Macro Consequences

Using linked employer-employee data from Brazil, we document a large gender pay gap due to women working at lower-paying employers with better nonpay attributes. To interpret these facts, we develop an equilibrium search model with endogenous firm pay, amenities, and hiring. We provide a constructive proof of identification of all model parameters. The estimated model suggests that amenities are important for both men and women, that compensating differentials explain half of the gender pay gap, and that there are significant output and welfare gains from eliminating gender differences. However, equal-treatment policies fail to achieve those gains.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 16409

Klassifikation
Wirtschaft
Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
Economics of Gender; Non-labor Discrimination
Wage Level and Structure; Wage Differentials
Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
Thema
wage inequality
amenities
equilibrium search model
linked employer-employee data
compensating differentials
taste-based discrimination
monopsony power

Ereignis
Geistige Schöpfung
(wer)
Morchio, Iacopo
Moser, Christian
Ereignis
Veröffentlichung
(wer)
Institute of Labor Economics (IZA)
(wo)
Bonn
(wann)
2023

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Morchio, Iacopo
  • Moser, Christian
  • Institute of Labor Economics (IZA)

Entstanden

  • 2023

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