Career Plans and Expectations of Young Women and Men: The Earnings Gap and Labor Force Participation
Using detailed information on the career plans and earnings expectations of college business school seniors, we test the hypothesis that women who plan to work intermittently choose jobs with lower rewards to work experience in return for lower penalties for labor force interruptions. We find that while men and women expect similar starting salaries, women anticipate considerably lower earnings in subsequent years, even under the assumption of continuous employment after leaving school. While it is also true that women in the sample plan to work fewer years than men, these differences do not explain the observed gender differences in expected earnings profiles. We also find no evidence that gender differences in expected earnings have any effect on the number of years these women plan to be in the labor market.
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- 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 451-70, June.
- Steven H. Sandell & David Shapiro, 1980. "Work Expectations, Human Capital Accumulation, and the Wages of Young Women," Journal of Human Resources, University of Wisconsin Press, vol. 15(3), pages 335-353.
- Polachek, Solomon William, 1981. "Occupational Self-Selection: A Human Capital Approach to Sex Differences in Occupational Structure," The Review of Economics and Statistics, MIT Press, vol. 63(1), pages 60-69, February.
- Yoram Weiss, 1981.
"Expected Interruptions in Labor Force Participation and Sex Related Differences in Earnings Growth,"
NBER Working Papers
0667, National Bureau of Economic Research, Inc.
- Weiss, Yoram & Gronau, Reuben, 1981. "Expected Interruptions in Labour Force Participation and Sex-Related Differences in Earnings Growth," Review of Economic Studies, Wiley Blackwell, vol. 48(4), pages 607-19, October.
- Jacob Mincer & Solomon Polachek, 1974.
"Family Investments in Human Capital: Earnings of Women,"
in: Marriage, Family, Human Capital, and Fertility, pages 76-110
National Bureau of Economic Research, Inc.
- Mincer, Jacob & Polachek, Solomon, 1974. "Family Investment in Human Capital: Earnings of Women," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages S76-S108, Part II, .
- Paula England, 1982. "The Failure of Human Capital Theory to Explain Occupational Sex Segregation," Journal of Human Resources, University of Wisconsin Press, vol. 17(3), pages 358-370.
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