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The Expanding Gender Earnings Gap: Evidence from the LEHD-2000 Census

Claudia Goldin, Sari Pekkala Kerr, Claudia Olivetti, Erling Barth

American Economic Review · 2017 · Volume 107 · Issue 5

DOI: 10.1257/aer.p20171065

Abstract

The gender earnings gap is an expanding statistic over the lifecycle. We use the LEHD Census 2000 to understand the roles of industry, occupation, and establishment 14 years after leaving school. The gap for college graduates 26 to 39 years old expands by 34 log points, most occurring in the first 7 years. About 44 percent is due to disproportionate shifts by men into higher-earning positions, industries, and firms and about 56 percent to differential advances by gender within firms. Widening is greater for married individuals and for those in certain sectors. Non-college graduates experience less widening but with similar patterns.

Keywords

Intertemporal Household Choice, Life Cycle Models and Saving, Economics of Gender, Non-labor Discrimination, Time Allocation and Labor Supply, Human Capital, Skills, Occupational Choice, Labor Productivity, Wage Level and Structure, Wage Differentials, Labor Discrimination

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