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Decomposition of the gender wage gap, 1980

Shown are the fractions of the total gender wage gap accounted for by different labor-market variables. "Occupation" for example, refers to gender differences in
occupation (i.e. lawyer vs. teacher). The "unexplained" percentage refers to the residual that remains after all other factors are accounted for - it is often seen as
discrimination.

0%10%20%30%40%Unexplained48.5%Experience21.1%Occupation10.7%Industry9.6%Unionization6.2%Education2.6%Race1.4%Region0%

Source: Blau and Kahn (2017)

Note: These are estimates: it is important to keep in mind that it's impossible to precisely delineate between the contribution of different factors. For instance, discrimination may contribute to occupational
segregation, and conversely, "unexplained" factors might include aspects such as unobserved gender differences in productivity.

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