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Production, Market Production and the Gender Wage Gap: Incentives and Expectations

Author

Listed:
  • Stefania Albanesi

    (Columbia University)

  • Claudia Olivetti

    (Boston University)

Abstract

We study the joint determination of gender differences in labor earnings and time devoted to home production in an economy where informational frictions give rise to incentive problems in the labor market. Our model generates novel predictions on the relation between earnings, home hours and the incidence of performance pay, which we confront with the data. The empirical evidence broadly supports our hypothesis. (Copyright: Elsevier)

Suggested Citation

  • Stefania Albanesi & Claudia Olivetti, 2009. "Production, Market Production and the Gender Wage Gap: Incentives and Expectations," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 12(1), pages 80-107, January.
  • Handle: RePEc:red:issued:06-236
    DOI: 10.1016/j.red.2008.08.001
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    References listed on IDEAS

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    More about this item

    Keywords

    Gender wage gap; Statistical discrimination; Private information; Labor contracts; Home production;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J7 - Labor and Demographic Economics - - Labor Discrimination

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