This chapter reviews the theory of monopsonistic wage setting, its empirical implications, and some puzzles the framework has struggled to explain. We begin by examining the fundamentals of monopson- istic wage determination. The core of the theory is a mapping from the distribution of worker...

This paper develops a novel axiomatic analysis of exploitation as the unequal exchange of labour, derives an empirical exploitation index at the individual level, and provides the first estimation of the distribution of exploitation in the US in 1975-2022. We show that, among possible...

We examine how parental and local factors shape the gender pay gap between daughters and sons. Maternal labor market attachment significantly reduces gender disparities as it increases daughters' earnings in adulthood relative to that of sons. We find that maternal employment has minimal effects...

The Asian Development Bank has adopted internal practices aligned with its commitment to help its members achieve gender equality. This study analyzes panel data on its staff spanning 2000-2022 to understand gender differences in salaries and career paths of its three staff groups. A...

Looking at the earnings profiles of men and women after their first child is born, a number of studies establish that women suffer a larger penalty in earnings than men - a child penalty. Leveraging randomness in the sex of the first birth, we show that the child penalty in the UK is larger when...

The 1924 Immigration Act excluded immigrants from economically developing countries to the point of their near total exclusion. Forty years later, the 1965 Immigration and Nationality Act eliminated most discriminatory county-of-origin barriers. America's doors opened and immigration from...

This paper examines the relationship between labor market power and employer discrimination, providing new causal evidence on when and where discriminatory outcomes arise. We leverage mass layoffs and firm closures as a source of exogenous job search and combine this with an exact matching...

Fueling debates about the "quality" of immigrants from economically developing countries, empirical studies based on a well-respected methodology conclude that post-1965 immigrant men have low initial earnings and sluggish earnings growth. This methodology is based on flawed assumptions (Duleep,...

This article provides a comprehensive analysis of labor earnings volatility in Brazil between 2012 and 2023. During this period, Brazil's economy experienced intense economic growth followed by large recessions, allowing us to assess changes in volatility over the business cycle. In addition,...

Children tend to choose the same occupations as their parents. We examine the implications of this tendency for talent allocation and intergenerational mobility. Using Swedish data on skills and personality traits, we estimate a general equilibrium Roy model with unequal occupational access...

This paper examines how gender-specific application behaviour, firms' hiring practices, and flexibility demands relate to the gender earnings gap, using linked data from the German Job Vacancy Survey and administrative records. Women are less likely than men to apply to high-wage firms with high...

This paper examines the impact of automation investments on employment dynamics and workforce composition using administrative data from Portugal. I exploit the lumpiness of automation imports in a difference-in-differences event study design. My results show that automation creates jobs in...

The fact that women who have the skills, experience, and ability to be considered for promotions opt out of competitions for promotion is not cost-free. It reduces the overall skillset in the pool of applicants. And the underrepresentation of women discourages future generations of women from...

We evaluate the influence on the skill premium of the task content of jobs by exploiting the text data from online job ads covering 2009-2018 (over 189,000 ads) published by one of the leading Chilean online job portals (www.trabajando.com). Our analysis tests the expected complementarity...

We use the removal of public bank guarantees in Germany as a quasi-natural experiment to estimate the gender bargaining power gap. Using comprehensive wage data from the universe of banking employees, combined with bank-level financial information, we find that women have approximately...

We derive wage equations with individual specific coefficients from a structural model of human capital investment over the life cycle. This model allows for interruptions in labour market participation and deals with missing data and attrition problems. We propose a new framework that deals...

Parental caregiving responsibilities can disrupt paid work, contributing to persistent gender inequalities in employment and earnings. Using Australian employer-employee linked data and a dynamic difference-in-differences approach, this study examines how workplace environments shape the impacts...

The gender wage gap rises with experience. To what extent do firm policies mediate this rise? We use administrative data from Italy to identify workers' first jobs and compute wage growth over the next 5 years. We then decompose the contribution of first employers to the rise in the gender wage...

This paper investigates the evolution of ethnic wage gaps among men and women in the UK over the period 1993-2023. The results show reductions in wage gaps among all South Asian groups, which are driven by higher educational attainment and occupational advancement. In contrast, wage gaps persist...

Many factors are behind the persistent gender wage gap in a developing economy, such as occupational segregation, social norms, and gender attitudes. To narrow the gender wage gap, it is mandatory to create gender-inclusive work environments, increase minimum wages and implement labour market...

Labour market discrimination based on gender identity remains a significant yet understudied phenomenon. This paper examines the labour market experiences of trans and nonbinary individuals, focusing on how gender transition intersects with career development, institutional support, and labour...

On average, wages of female workers are lower than wages of male workers. In this paper, we explore to what extent a gender bias in trade costs explains this gender wage gap and how different policy reforms could lower it. First, we analyse the relation between various types of trade costs and...

In this paper, we examine the incidence of skill gaps among European employees. We identify the worker and firm level characteristics most commonly associated with skill gaps and investigate the extent to which this particular form of skill mismatch is associated with wage penalties. In 2021, we...

This paper examines implicit gender bias in entrepreneurial financing by randomizing screenings of business investment ideas pitched in the format of the reality television show Chigign Tobiya. Keeping business idea and pitch quality constant, the experiment randomizes whether a female or male...