Do Women Expect Wage Cuts for Part-Time Work?

Diskussionspapiere extern

Annekatrin Schrenker

München und Berlin: Rationality and Competition, Collaborative Research Center Transregio 190, 2020,
(Discussion Paper No. 257)

Abstract

Wage expectations for full- and part-time employment are key for understanding the labor supply decisions of women. However, whether women expect different wages between part-time and full-time work is not fully understood. Using German survey data, I quantify the expected full-time/part-time wage differential for a representative sample of female workers. I document that women, on average, expect only minor part-time wage penalties (1-3 percent). Comparing beliefs to selectivity-adjusted estimates of the part-time wage gap indicates that women’s mean expectations are realistic. I also show that women with children and those in managerial positions expect sizeable part-time wage cuts, with mothers overestimating the part-time wage penalty.



Keywords: expectations; female labor supply; part-time wage gap
Externer Link:
https://rationality-and-competition.de/wp-content/uploads/2020/09/257.pdf

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