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Gender Wage Gap in Expectations and Realizations

Author

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  • Filippin, Antonio

    () (University of Milan)

  • Ichino, Andrea

    () (European University Institute)

Abstract

This paper explores the extent to which the gender wage gap is anticipated by workers' expectations. Data collected among second year students of Bocconi University convey information about their wage expectations. Detailed controls allow a clean matching with a sample of Bocconi graduates providing information about their actual wages. The evidence shows that the gender gap implied by students' expectations one year after graduation is consistent with the gender gap implied by the earnings of their elder counterparts. There is instead a misperception of the gender gap later in the career after graduation because students expect the gender gap to be roughly constant while realizations indicate an increasing gap with experience, particularly for the relatively less skilled worker. There is also evidence that the gender gap at the beginning of a career is particularly high in the most recent cohorts and lower in the previous ones. Finally, our results suggest that the careers of females are characterized by "glass ceilings" in particular at high skill levels, and by "sticky floors" at the opposite end of the skill spectrum.

Suggested Citation

  • Filippin, Antonio & Ichino, Andrea, 2003. "Gender Wage Gap in Expectations and Realizations," IZA Discussion Papers 825, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp825
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    1. Mark B. Stewart, 1983. "On Least Squares Estimation when the Dependent Variable is Grouped," Review of Economic Studies, Oxford University Press, vol. 50(4), pages 737-753.
    2. Filippin, Antonio, 2003. "Discrimination and Workers' Expectations," Royal Economic Society Annual Conference 2003 78, Royal Economic Society.
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    5. Filippin, Antonio, 2003. "Discrimination and Workers' Expectations: Experimental Evidence," IZA Discussion Papers 824, Institute for the Study of Labor (IZA).
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    9. 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.
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    1. repec:iab:iabzaf:v:38:i:2/3:p:341-356 is not listed on IDEAS
    2. Pietro Garibaldi & Francesco Giavazzi & Andrea Ichino & Enrico Rettore, 2012. "College Cost and Time to Complete a Degree: Evidence from Tuition Discontinuities," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 699-711, August.
    3. Jaanika Merikull & Pille Mõtsmees, 2015. "Do you get what you ask? The gender gap in desired and realised wages," Bank of Estonia Working Papers wp2014-9, Bank of Estonia, revised 20 Jan 2015.
    4. repec:eee:jeborg:v:140:y:2017:i:c:p:35-55 is not listed on IDEAS
    5. Marija Andonova & Nikica Mojsoska-Blazevski, 2015. "Factors Influencing the Earnings Expectations among Macedonian Students: A Comparative Perspective with the EU Students," Croatian Economic Survey, The Institute of Economics, Zagreb, vol. 17(1), pages 71-110, June.
    6. Filippin, Antonio & Paccagnella, Marco, 2012. "Family background, self-confidence and economic outcomes," Economics of Education Review, Elsevier, vol. 31(5), pages 824-834.
    7. Schweri, Juerg & Hartog, Joop, 2014. "Do wage expectations influence the decision to enroll in nursing college?," Annual Conference 2014 (Hamburg): Evidence-based Economic Policy 100542, Verein für Socialpolitik / German Economic Association.
    8. Stijn Baert & Ann-Sophie De Pauw & Nick Deschacht, 2016. "Do Employer Preferences Contribute to Sticky Floors?," ILR Review, Cornell University, ILR School, vol. 69(3), pages 714-736, May.
    9. Fidrmuc, Jarko & Korhonen, Iikka, 2003. "Similarity of supply and demand shocks between the euro area and the CEECs," Economic Systems, Elsevier, pages 313-334.
    10. Frédéric Palomino & Eloïc-Anil Peyrache, 2010. "Psychological Bias and Gender Wage Gap," Post-Print hal-00911836, HAL.
    11. Mohamed Jellal & Christophe Nordman & Francois-Charles Wolff, 2008. "Evidence on the glass ceiling effect in France using matched worker-firm data," Applied Economics, Taylor & Francis Journals, vol. 40(24), pages 3233-3250.
    12. Francesco Pastore, 2010. "The gender gap in early career in Mongolia," International Journal of Manpower, Emerald Group Publishing, vol. 31(2), pages 188-207, May.
    13. repec:dau:papers:123456789/4377 is not listed on IDEAS
    14. Antonio Filippin, 2003. "Discrimination and workers' expectations: experimental evidence," Departmental Working Papers 2003-16, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    15. Filippin, Antonio, 2003. "Discrimination and Workers' Expectations," Royal Economic Society Annual Conference 2003 78, Royal Economic Society.
    16. Palomino, Frédéric & Peyrache, Eloïc-Anil, 2010. "Psychological bias and gender wage gap," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 563-573, December.
    17. Alewell, Dorothea & Pull, Kerstin, 2005. "Rechtsschutz für Mütter : eine ökonomische Analyse des Mutterschutzgesetzes und seiner Wirkungen auf die Beschäftigungssituation von Frauen (Legal protection for mothers * an economic analysis of the ," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 38(2/3), pages 341-356.

    More about this item

    Keywords

    gender wage gap; expectations;

    JEL classification:

    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J7 - Labor and Demographic Economics - - Labor Discrimination

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