The Pay Gap From a Different Perspective

Abstract

There is a campaign afoot to pass the Paycheck Fairness Act. It would strengthen the Equal Pay Act of 1963 in an effort to address the pay gap between the earnings of men and women. The proposal is premised on the claim that women earn about 77% of what men earn. This article finds that when we control for hours worked, that number is much higher. In addition, there are important differences among the states. If we were to control for additional factors, we would find that the pay gap is gone. Indeed, women on average may now earn more than men. The considerable progress that has been made in this area is due much more to the operation of Title VII of the Civil Rights Act of 1964 and Executive Order 11246 of 1965 than to the Equal Pay Act.