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Early-Career Work Experience and Gender Wage Differentials

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  • Light, Audrey
  • Ureta, Manuelita

Abstract

The authors estimate a wage model that includes an array of variables measuring the fraction of time worked during each year of the career. This array fully characterizes past employment experience, regardless of how sporadic it has been. Their model yields substantially higher estimated returns to experience and lower returns to tenure than do models that experience cumulatively and use the standard quadratic functional form. The authors find that the data reject the standard model but fail to reject their model. Furthermore, they find that 12 percent of the male-female wage gap is due to differences in the timing of work experience. Copyright 1995 by University of Chicago Press.

Suggested Citation

  • Light, Audrey & Ureta, Manuelita, 1995. "Early-Career Work Experience and Gender Wage Differentials," Journal of Labor Economics, University of Chicago Press, vol. 13(1), pages 121-154, January.
  • Handle: RePEc:ucp:jlabec:v:13:y:1995:i:1:p:121-54
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    References listed on IDEAS

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    1. Francine D. Blau & Andrea H. Beller, 1988. "Trends in Earnings Differentials by Gender, 1971–1981," ILR Review, Cornell University, ILR School, vol. 41(4), pages 513-529, July.
    2. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 38(2), pages 112-134.
    3. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
    4. Malkiel, Burton G & Malkiel, Judith A, 1973. "Male-Female Pay Differentials in Professional Employment," American Economic Review, American Economic Association, vol. 63(4), pages 693-705, September.
    5. Polachek, Solomon William, 1975. "Differences in Expected Post-school Investments as a Determinant of Market Wage Differentials," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 16(2), pages 451-470, June.
    6. Marianne A. Ferber & Helen M. Lowry, 1976. "The Sex Differential in Earnings: A Reappraisal," ILR Review, Cornell University, ILR School, vol. 29(3), pages 377-387, April.
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