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Specialization Then and Now: Marriage, Children, and the Gender Earnings Gap across Cohorts

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  • Chinhui Juhn
  • Kristin McCue

Abstract

In this paper, we examine the evolution of the gender gap associated with marriage and parental status, comparing cohorts born between 1936 and 1985. The model of household specialization and division of labor introduced by Becker posits that when forming households, couples will exploit the gains from trade by having one spouse specialize in market work while the other specializes in household work. Given the historical advantage of men in the labor market, the model predicts specialization by gender and therefore an earnings advantage for married men and an earnings disadvantage for married women. Is this model of specialization useful for understanding the evolution of the gender gap across generations of women? And what about children? Academic papers have shown that wages of mothers are significantly lower than those of non-mothers with similar human capital characteristics. We do not attempt to build a structural model here, but rather document how changing associations between marriage and earnings, and between children and earnings, have contributed to the gender gap in an "accounting" sense.

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  • Chinhui Juhn & Kristin McCue, 2017. "Specialization Then and Now: Marriage, Children, and the Gender Earnings Gap across Cohorts," Journal of Economic Perspectives, American Economic Association, vol. 31(1), pages 183-204, Winter.
    • Handle: RePEc:aea:jecper:v:31:y:2017:i:1:p:183-204
    Note: DOI: 10.1257/jep.31.1.183
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    More about this item

    JEL classification:

    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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