Although the wage gap is closing ? especially for young people, where it's nearly non-existent ? there's still a significant gender gap at the top of corporations. Of?the top five highest-paid positions at US firms, only 2.5 percent are held by women.?
One explanation, backed up by previous research, is that women are less likely to negotiate for higher salaries then men. A new NBER working paper by?Andreas Leibbrandt of Monash University and John A. List of the University of Chicago put that to the test by posting a variety of jobs in markets around the US. Some had an explicit option to negotiate, others left it unsaid.?
When the ability to negotiate a higher salary is ambiguous, men are significantly more likely to negotiate for higher salaries then women are. If negotiation is laid out as an option in a job posting, women are actually more likely to do so.?
Further, men actually applied to the job postings with ambiguous salaries at higher rates. They apply more to these jobs, negotiate more, and reap what the authors term a "disproportionate amount of the surplus, relative to women."??
Here's their chart of the application effect:
And the effect on negotiation: ?
?Read the full paper here
NOW READ: Companies Really Lose Out When They Don't Promote Women
AND: THE GREAT DEBATE: Why Aren't There More Women In Positions Of Power?
Source: http://www.businessinsider.com/gender-differences-in-salary-negotation-2012-11
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