The Women’s Wage Gap: How Does It Affect Us All?

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Prompted by Amazon’s parody of the gender wage gap and actress Patricia Arquette’s impassioned plea for equal rights for women at the 87th Academy Awards, we—in honor of International Women’s Day—turned to gender expert, Dr. Luca Flabbi, to get the facts about this issue. Was Patricia Arquette right about the gender pay gap? If so, what does that mean? Are women paid less because they have less education and fewer skills than men, because they work at more part-time jobs than men, or is it simply a matter of prejudice?

Dr. Flabbi, a senior economist in the Inter-American Development Bank’s Research Department, specializes in gender differentials and discrimination, wage determinants and intergenerational mobility, and wage and household bargaining. In a working paper he co-authored with Mauricio Tejada, “Gender Gaps in Education and Labor Market Outcomes in the United States: The Impact of Employers’ Prejudice”, Flabbi provides descriptive evidence of gender differentials by education level in the U.S. labor market over the last twenty years. He and Tejada show that prejudice may still play a role in gender differentials, describing at least one scenario where the possibility of prejudiced employers in the labor market has had a substantial impact.

During a brief talk, Dr. Flabbi provides an insight into the gender gap from an economic standpoint and explains why this problem goes beyond even equal rights for women and how it is actually “a global problem in which the entire economy is losing.”

 

More Information: “Gender Gaps in Education and Labor Market Outcomes in the United States: The Impact of Employers’ Prejudice

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The Author

Luca Flabbi

Luca Flabbi

Luca Flabbi joins the Research Department as Senior Research Economist. He received a Ph.D. in Economics from New York University in 2004 and since then has been an Assistant Professor in the Economics Department at Georgetown University. He also received a Doctoral Degree in Economics from Catholic University in Milan and a B.A. with distinction from Bocconi University in Milan. His main fields of study are Labor, Applied Microeconomics and Microeconometrics. More specifically, he is interested in the modeling and estimation of: search models, gender differentials and discrimination, wage determinants and seniority, schooling decisions and intergenerational mobility, and bargaining in the labor market and in the household.

The Author

Beatriz Navarro

Beatriz Navarro

Beatriz is a lawyer and international affairs professional who specializes in sociopolitical analysis to shape public policy in Latin America. Before joining the Research Department team, she was the Ministry of Finance Attaché for Strategic Affairs to the Embassy of Mexico in the United States and a consultant for the Stolen Asset Recovery Initiative (StAr Initiative) at the World Bank. As the strategic communications specialist, Beatriz creates and executes high- impact communications and digital strategy campaigns by translating the vast knowledge of the experts into accessible narratives. Her goal is to inform a wider audience of the most relevant issues affecting development in the region. Beatriz holds a BA in Law from the Instituto Tecnológico Autónomo de México (ITAM) and a Master’s degree from The Fletcher School of Law and Diplomacy at Tufts University.

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