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Monopsony, Mobility, and Sex Differences in Pay: Missouri School Teachers

Michael R. Ransom, Val E. Lambson

American Economic Review · 2011 · Volume 101 · Issue 3

DOI: 10.1257/aer.101.3.454

Abstract

We examine the sex differences in the pay of school teachers in Missouri. In Missouri school districts, pay is determined by a salary schedule that maps teaching experience and education level of an individual to a salary level. In spite of this apparently mechanical rule for determining pay, female teachers earn less than male teachers, after controlling for experience and education. We explore how such a difference could arise from differential job mobility and find some evidence to support this idea. However, within district differences in pay are a more important source of differences in pay between men and women.

Keywords

State and Local Government: Health, Education, Welfare, Public Pensions, Analysis of Education, Wage Level and Structure, Wage Differentials, Public Sector Labor Markets

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