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Sex Discrimination and Women's Labor Market Outcomes

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Author Info

  • David Neumark
  • Michele McLennan

Abstract

The human capital explanation of sex differences in wages is that, owing to specialization in household production, women intend to work in the labor market more intermittently than men, and therefore invest less, leading to lower wage growth. An alternative "feedback" hypothesis is that women experience labor market discrimination and respond with career interruptions, less investment, and lower wage growth. This paper explores the relationship between self-reported discrimination and subsequent labor market outcomes to test this alternative hypothesis. Some of the evidence is consistent with the feedback hypothesis. Working women who report discrimination are more likely subsequently to change employers, to have children, and to marry. However, the evidence is not consistent with the two implications of the feedback hypothesis that most directly challenge the human capital explanation of sex differences in wages; women who report discrimination do not accumulate less experience, nor do they have lower wage growth.

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Bibliographic Info

Article provided by University of Wisconsin Press in its journal Journal of Human Resources.

Volume (Year): 30 (1995)
Issue (Month): 4 ()
Pages: 713-740

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Handle: RePEc:uwp:jhriss:v:30:y:1995:i:4:p:713-740

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Web page: http://jhr.uwpress.org/

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Cited by:
  1. Bjørnskov, Christian & Dreher, Axel & Fischer, Justina AV, 2007. "On Gender Inequality and Life Satisfaction: Does Discrimination Matter?," Working Paper Series in Economics and Finance 657, Stockholm School of Economics.
  2. Philipp Koellinger & Maria Minniti & Christian Schade, 2008. "Seeing the World with Different Eyes," Tinbergen Institute Discussion Papers 08-035/3, Tinbergen Institute, revised 11 Mar 2011.
  3. Russo, Giovanni & Ommeren, Jos van, 1997. "Gender differences in recruitment outcomes," Serie Research Memoranda 0015, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  4. Richard W. Johnson & David Neumark, 1996. "Age Discrimination, Job Separation, and Employment Status of Older Workers: Evidence from Self-Reports," NBER Working Papers 5619, National Bureau of Economic Research, Inc.
  5. Elizabeth Monk-Turner & Charlie Turner, 2001. "Sex Differentials in Earnings in the South Korean Labor Market," Feminist Economics, Taylor & Francis Journals, vol. 7(1), pages 63-78.
  6. Garcia-Aracil, Adela & Winter, Carolyn, 2006. "Gender and ethnicity differentials in school attainment and labor market earnings in Ecuador," World Development, Elsevier, vol. 34(2), pages 289-307, February.

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