The Hidden Economics of the Gender Pay Gap

The gender pay gap is one of the biggest economic issues of our time. But how well do we understand it? I review lessons on the pay gap from Nobel laureate Claudia Goldin's "Career & Family".
Subscribe to my newsletter: marketpower.substack.com/
RECOMMENDED VIDEOS
This Book Changed How I See Property Rights • The Hidden Economics o...
These Books Changed How I Learned Economics • These Books Changed Ho...
The Book of Mormon has changed my life, and I'd like to offer you a free copy: www.churchofjesuschrist.org/c...

[@paiaam]

and now I am watching this video because Claudia Goldin won the 2023 Nobel Memorial Prize in Economic Sciences!

[@jodilestner2668]

There are many MANY emergencies in Pediatrics, our on-calls (emergency work) are as demanding (if not more) than a senior surgeon. It’s also why there is a recruitment in pediatrics across the world.

[@6291luz]

I really love what your doing cant wait to see ur channel grow

[@ethansunday1489]

Great video! Wasn’t what I was expecting at all haha

[@dikshadebnath1847]

Congratulations to Claudia Goldin for becoming the third women to win the Nobel prize and first women to win it solo ❤❤

[@mchauhan4]

Really enlightening video.

[@carterbrown9695]

Haha that wink got me to subscribe!

[@NWforager]

i've heard that winning actually increases testosterone . Men ask for raises and openly discuss wages more than female coworkers . Successfully negotiating a raise can often be an upward spiral . This probably does not happen with automatic pay increases . i think this video shows its important to share 'wining' pay negotiating habits with our females . this is a tug-o-war against the Employer , not men against women

[@pooploops]

Hi Craig. Great video as always, but not the reason for my comment. I had left college for awhile after a car accident and was coming back to school after a year and a half. I felt super behind my peers. I was studying economics and I found your channel. Your videos about jobs in Economics and your subsequent videos really helped me commit to my studies as they sparked additional interest about the discipline. I ended up finally graduating this spring! I never thought I could do it. I moved across the country for a job in healthcare economic analysis. So, anyways, I'd like to think you were a small, helpful part in my journey and I wanted to say thank you!

[@MarketPowerYT]

Thank you so much for letting me know! And congratulations on pushing through the hard times. Maybe we should have you talk about your experience on the channel!

[@pooploops]

@@MarketPowerYT Haha that’d be interesting! Id be open. Maybe a little shy! But yeah, thanks 🙂

[@nayshashantalmillanbruno3658]

Love your content! There’s gonna be another book club this year? 🥺

[@BeingHumane173]

Actually i think the discrimination comes more from our traditional patriarchal family structure rather then from the workplace directly. In order to close the gender pay gap, we have to start by dismantling the patriarchy in the family level it self. We have to close the unpaid house hold labour gap in the home front between men and women to close the gender pay gap in the workplace. Men need to do their fair share at home. Women need to stop putting up with lazy men, who refuse to do their fair share at home.

[@alicianieto2822]

This very same author has proven that it was straightout discrimination, for various jobs, for example professional musicians. That would not show easily in this book, since you cannot compare the salaries for the same level of job if the women are bot hired for it to start with

[@BeingHumane173]

@@alicianieto2822 Hmm, thats true as well, I see. Patriarchy is a multipronged system of discrimination and oppression against women. Patriarchy has to be overthrown in all its forms.

[@MommaBeeb]

I was thinking much the same as I’m now reading “Fair Play” and “Real Self-Care” which both cover this issue of the gender roles in the home being uneven and how they will not change unless women push to change them.

[@GreyscaleGod]

But just because the husband does less around the house, it doesn't necessarily mean that the division of labor is unfair. In some relationships, it might be fair for him to put in longer hours on the job in exchange for the wife being responsible for more around the house. Every situation is different, and utilizing comparative advantage to divide labor is generally the best way to go.

[@Hanfiot]

hey, nice

[@fatemekorkchi2578]

I've got a quick question. Do you guys know whether economics or financial management is more demanding in the US? Which on has the higher possibility?

[@Noknes]

Hi I’m a Australian highschool student and got offered from a university to have one of my year 12 subjects next year to be a university course in either Macroeconomic or principal of economics Which one requires less maths?

[@matthewnghiem8373]

Depends which uni you're talking about, but there should be less maths for beginner Macro.

[@Noknes]

@@matthewnghiem8373 thanks

[@claudiaroedel1368]

Weird. I saw a female reviewing Goldin's work and her conclusion is that the age gap is caused by discrimination from employers. You make it sound it's just a "normal consequence" of caring for family. Not to mention that women caring for family is a social construct. The other underestimated issue is that married man earn more - because they have a woman at home doing the unpaid work if running the household.

[@Zaycancode]

Kind of a red pill take from the author. The FED has even discerned that discrimination plays a significant role in the gender pay gap especially when you add ethnicity and race into the complex situation. I really think the conversation can’t move past discrimination and just say oh it’s not that bad so it must be something else (no supporting discussion) which is a slight appeal to ignorance considering the nuance of pay gaps. Unfortunately the pay gap is so much more complicated when you take into account age, race, location, and so much more. Most of this information is well documented and can be googled.

[@NWforager]

this is specifically about the Gender pay gap . 1 bite at a time friend

[@Zaycancode]

@@NWforager I agree, just some oversimplification of the grey area. Overall the video was good but I think a few misguided takes from the author are perceived to be based in fact without doing enough explaining and glossing over discrimination’s involvement is a large oversimplification. Realistically many more demographics play into the pay gap

[@Zaycancode]

@Liam van der Vyver You’re confusing my standpoint. I’m not saying she doesn’t have any data or evidence to be clear, just that it lacks scope. It is very common knowledge that demographics play a massive part in pay gaps so much so that you can generally predict a persons future income by their zip code and race. This is a massive oversight in my opinion to gloss over when dealing with such a complex problem. I’m sure she did research on the topic and her general arguments are compelling, absolutely. just a narrow view at an economic situation caused by sociological predicaments, or at least very seriously impacted due to demographics. It’s cool she went to Harvard as you surely agree if we just took everyone’s word who went to Harvard and assumed it encompassed everything ever thought of then we would all be fools. Not taking from her credibility at all I just believe that the viewpoint lacked scope due to oversimplification.

[@Zaycancode]

⁠@Liam van der Vyver Right she never claimed that there’s no discrimination but in doing a measure targeting all of women when not accounting for different socioeconomic background the logic simply couldn’t hold the same. Adding layers of abstraction to generalize the pay gap as simply result of man’s ability to spend more time working and woman’s assumed disposition toward family does not give enough credence to each and every demographic under that umbrella. Her fellow colleagues at Harvard would agree to that discrimination is massively impactful in the pay gap if you look at some of the work done by Natalia Emanuel and Valentin Bolotinny they argue similar standpoints but have altogether different opinions on how much discrimination plays a role in the pay gap which is my fundamental disagreement with her work. I’ll absolutely read her papers though she makes good steps in her argument to explore the other factors often dismissed due to the common knowledge of discriminations role in the pay gap which deserve more attention than they get. It’s an iterative process regardless and no one person has a full proof solution im simply saying in some ways I think she’s right but that she oversimplified a big point that should be explored more. As for following the evidence there is more evidence to the former being a cause of discrimination than the latter a cause of time and resource availability. (In the last 45 years) If that is the goal then should we not address the topic with the most public opinions and research before the tangent causes?

[@Zaycancode]

@Liam van der Vyver I think we both agree she makes some good points and you made a good suggestion for me to began looking into her points further thank you!

[@rookiej5587]

It's a scam bro