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Pay Transparency and the Gender Gap

Author

Listed:
  • Michael Baker
  • Yosh Halberstam
  • Kory Kroft
  • Alexandre Mas
  • Derek Messacar

Abstract

We examine the impact of public sector salary disclosure laws on university faculty salaries in Canada. The laws, which enable public access to the salaries of individual faculty if they exceed specified thresholds, were introduced in different provinces at different times. Using detailed administrative data covering the majority of faculty in Canada, and an event-study research design that exploits within-province variation in exposure to the policy across institutions and academic departments, we find robust evidence that the laws reduced the gender pay gap between men and women by approximately 20-40 percent.

Suggested Citation

  • Michael Baker & Yosh Halberstam & Kory Kroft & Alexandre Mas & Derek Messacar, 2019. "Pay Transparency and the Gender Gap," NBER Working Papers 25834, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:25834
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    References listed on IDEAS

    as
    1. Cullen, Zoë & Perez-Truglia, Ricardo, 2023. "The salary taboo privacy norms and the diffusion of information," Journal of Public Economics, Elsevier, vol. 222(C).
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    3. Morten Bennedsen & Elena Simintzi & Margarita Tsoutsoura & Daniel Wolfenzon, 2019. "Do Firms Respond to Gender Pay Gap Transparency?," NBER Working Papers 25435, National Bureau of Economic Research, Inc.
    4. Picot, Garnett & Lu, Yuqian & Morissette, Rene, 2013. "The Evolution of Canadian Wages over the Last Three Decades," Analytical Studies Branch Research Paper Series 2013347e, Statistics Canada, Analytical Studies Branch.
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    6. David Card & Alexandre Mas & Enrico Moretti & Emmanuel Saez, 2012. "Inequality at Work: The Effect of Peer Salaries on Job Satisfaction," American Economic Review, American Economic Association, vol. 102(6), pages 2981-3003, October.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • J0 - Labor and Demographic Economics - - General
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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