Pay and Productivity Differences between Men and Women: Evidence from Veterinarians

Abstract

I utilize a new data set on veterinarians to study differences in pay and productivity between men and women in the wage-salary sector. The gender gap in average earnings is 15 percent. After controlling for various observable characteristics, the earnings gap narrows to 10 percent, based on the most conservative estimates. Utilizing unique productivity measures, I find women in parity with men in productivity, holding constant other factors. Finding gender differences in earnings, but not in productivity, is evidence consistent with the presence of wage discrimination. Other possible explanations for the finding are also explored.