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Effects of Expected Effort on Females in the Labor Market

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  • Ori Zax
  • Mosi Rosenboim
  • Tal Shavit

Abstract

We introduce expectations regarding the amount of exerted effort by males and females into the "standard" labor market equilibrium. Using a theoretical model, we show that the gender wage gap increases when the expected effect is incorporated into the model. Based on a survey, we find that there are inaccurate expectations regarding the amount effort exerted by males and females. We argue that biased expectations lead to paying females lower wages and a higher gender wage gap than should be expected on the basis of effort exerted. We suggest marketing females' efforts as a policy tool to counteract these biased expectations.

Suggested Citation

  • Ori Zax & Mosi Rosenboim & Tal Shavit, 2014. "Effects of Expected Effort on Females in the Labor Market," Forum for Social Economics, Taylor & Francis Journals, vol. 43(2), pages 107-122, August.
    • Handle: RePEc:taf:fosoec:v:43:y:2014:i:2:p:107-122
    DOI: 10.1080/07360932.2012.709317
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    Cited by:

    1. Ori Zax, 2016. "Why Do Women Study So Much? The Role of Signaling and Work Commitment," Economics Bulletin, AccessEcon, vol. 36(2), pages 1185-1193.

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