Gender Differences in Pay of Young Management Professionals in the United States: A Comprehensive View

We conduct a comprehensive examination of the gender differences in pay focusing on multiple perspectives emanating from economics, social psychology, and gender studies. Data are drawn from surveys of MBA students conducted by the Graduate Management Admissions Council. Although women in both samples earn significantly less on average than men, when the effects of the study's variables are considered via multiple regression analysis, no significant difference in annual salary is observed. Our results show the importance of simultaneously considering the impact of human capital, job and firm characteristics, demographics, and cognitive skills. Structural differences are noted in the models estimated separately for men and women. However, the results from decomposing salary differentials are quite consistent with estimates from the single-equation models. [PUBLICATION ABSTRACT]