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Gender Gaps in Early Wage Expectations

Author

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  • Leibing, Andreas

    (Dresden University of Technology)

  • Peter, Frauke

    (DZHW-German Centre for Research on Higher Education and Science Studies)

  • Waights, Sevrin

    (Humboldt University Berlin)

  • Spieß, C. Katharina

    (Bundesinstitut für Bevölkerungsforschung (BiB))

Abstract

Using detailed data from a unique survey of high school graduates in Germany, we document a gender gap in expected full-time earnings of more than 15%. We apply a regression-compatible Oaxaca-Blinder decomposition and find that especially differences in coefficients help explain the gap. In particular, the effects of having time for family as career motive and being first-generation college student are associated with large penalties in female wage expectations exclusively. This is especially true for higher expected career paths. Resulting expected returns to education are associated with college enrollment of women and could thus entrench subsequent gaps in realized earnings.

Suggested Citation

  • Leibing, Andreas & Peter, Frauke & Waights, Sevrin & Spieß, C. Katharina, 2022. "Gender Gaps in Early Wage Expectations," IZA Discussion Papers 15281, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp15281
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    References listed on IDEAS

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    Cited by:

    1. Pamela Giustinelli, 2022. "Expectations in Education: Framework, Elicitation, and Evidence," Working Papers 2022-026, Human Capital and Economic Opportunity Working Group.
    2. Kiessling, Lukas & Pinger, Pia & Seegers, Philipp & Bergerhoff, Jan, 2024. "Gender differences in wage expectations and negotiation," Labour Economics, Elsevier, vol. 87(C).

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    More about this item

    Keywords

    wage expectations; gender gap; college enrollment;
    All these keywords.

    JEL classification:

    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations

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