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Institutional Demand-Side Discrimination Against Women and the Human Capital Model

Institutional Demand-Side Discrimination Against Women and the Human Capital Model Human capital theorists claim that the gender wage gap is due in large part to supply-side factors. They base this claim on empirical evidence. This paper challenges the interpretation of that empirical evidence. It argues that that interpretation is based on an assumption of a simplified production system that rules out any consideration of institutionally-based demand-side discrimination. It argues that insiders have an incentive to choose production techniques that benefit themselves, and that their choices will bias measures of human capital in their favor. The paper then considers a specific case study - the undergraduate U.S. academic market - where such institutionally-based demand-side discrimination exists, and offers an institutional change which could work to offset it. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Feminist Economics Taylor & Francis

Institutional Demand-Side Discrimination Against Women and the Human Capital Model

Colander, David; Woos, Joanna Wayland
Feminist Economics , Volume 3 (1): 12 – Jan 1, 1997
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References (10)

Publisher
Taylor & Francis
Copyright
Copyright Taylor & Francis Group, LLC
ISSN
1466-4372
eISSN
1354-5701
DOI
10.1080/135457097338807
Publisher site
See Article on Publisher Site

Abstract

Human capital theorists claim that the gender wage gap is due in large part to supply-side factors. They base this claim on empirical evidence. This paper challenges the interpretation of that empirical evidence. It argues that that interpretation is based on an assumption of a simplified production system that rules out any consideration of institutionally-based demand-side discrimination. It argues that insiders have an incentive to choose production techniques that benefit themselves, and that their choices will bias measures of human capital in their favor. The paper then considers a specific case study - the undergraduate U.S. academic market - where such institutionally-based demand-side discrimination exists, and offers an institutional change which could work to offset it.

Journal

Feminist Economics – Taylor & Francis

Published: Jan 1, 1997

Keywords: Human Capital; Discrimination; Academic Jobs; Institutions; Insiders

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