Without assuming innate differences between genders, we show that the simultaneous interaction between frictional labor and marriage markets can result in a "gendered" equilibrium which is consistent with observed empirical regularities: men earn more than women, and their attachment to the...

This paper explores the implications of culturally biased testing for the employment decisions of firms. Only the workers know whether they can do the job or not so firms test them. Wages are made contingent on the test results which are public information. The threshold result for hiring...