The Return to Hours Worked Within and Across Occupations: Implications for the Gender Wage Gap

Jeffrey Denning, Brian Jacob, Lars Lefgren () and Christian vom Lehn

No 25739, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We document two empirical phenomena. First, the observational wage returns to hours worked within occupation is small, and even negative in some specifications. Second, the wage return to average hours worked across occupations is large. We develop a conceptual framework that reconciles these facts, where the key insight is that workers choose jobs as a bundle of compensation and expected hours worked. As an example, we apply this framework to the gender wage gap and show how it can explain the view expressed in recent work that hours differences between men and women represent a large and growing component of the gender wage gap.

JEL-codes: J16 J3 J7 (search for similar items in EconPapers)
Date: 2019-04
New Economics Papers: this item is included in nep-gen and nep-lma
Note: LS
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Citations: View citations in EconPapers (9)

Published as Jeffrey T. Denning & Brian A. Jacob & Lars J. Lefgren & Christian vom Lehn, 2022. "The Return to Hours Worked within and across Occupations: Implications for the Gender Wage Gap," ILR Review, vol 75(5), pages 1321-1347.

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Journal Article: The Return to Hours Worked within and across Occupations: Implications for the Gender Wage Gap (2022)
Working Paper: The Return to Hours Worked within and across Occupations: Implications for the Gender Wage Gap (2021)
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