Jakob Egholt Søgaard
Øster Farimagsgade 5
DK-1353 Copenhagen K
NBER Working Papers and Publications
|January 2018||Children and Gender Inequality: Evidence from Denmark|
with Henrik Kleven, Camille Landais: w24219
Despite considerable gender convergence over time, substantial gender inequality persists in all countries. Using Danish administrative data from 1980-2013 and an event study approach, we show that most of the remaining gender inequality in earnings is due to children. The arrival of children creates a gender gap in earnings of around 20% in the long run, driven in roughly equal proportions by labor force participation, hours of work, and wage rates. Underlying these “child penalties”, we find clear dynamic impacts on occupation, promotion to manager, sector, and the family friendliness of the firm for women relative to men. Based on a dynamic decomposition framework, we show that the fraction of gender inequality caused by child penalties has increased dramatically over time, from about 4...