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Do cognitive skills and personality traits contribute to a better understanding of gender pay disparities in Australia?

Author

Listed:
  • Anita Staneva

    (Griffith University)

  • Garry F. Barrett

    (University of Sydney)

Abstract

This study investigates the role of cognitive and non-cognitive skills in explaining gender pay disparities in Australia. Our results reveal that while both cognitive and non-cognitive skills influence wages, their returns differ by gender and are more pronounced at the upper wage distribution. Cognitive skills, such as the speed of information processing, yield higher returns for men and are comparable to an additional year of education. Cognitive and non-cognitive skills are important in influencing the differential sorting of men and women into occupations, rather than directly generating wage differences, in accounting for the gender wage gap.

Suggested Citation

  • Anita Staneva & Garry F. Barrett, 2025. "Do cognitive skills and personality traits contribute to a better understanding of gender pay disparities in Australia?," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 28(2), pages 124-154.
    • Handle: RePEc:ozl:journl:v:28:y:2025:i:2:p:124-154
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