Debate Analysis: Women’s Pay Statistics Misleading

By: American Decency Staff

 

When a questioner at Tuesday’s presidential debate stated that women make only 72 cents for every dollar that men make, both President Obama and Governor Mitt Romney agreed. Not so fast. This figure is highly misleading.

The statistic comes from a Census Bureau report (see figure 2 here) comparing the median earnings of men and women in full-time jobs. However, many factors affect pay—e.g., occupational choice, education, experience, and hours of work. Doctors make more than store clerks, no matter their gender. Employees who work longer hours tend to make more, too.

The Census report ignores all such factors. So it can say nothing about whether men and women with the same level of job performance make the same amount.

Women are more likely than men to work in industries with more flexible schedules. Women are also more likely to spend time outside the labor force to care for children. These choices have benefits, but they also reduce pay—for both men and women. When economists control for such factors, they find the gender gap largely disappears.

Read More: http://blog.heritage.org/2012/10/18/debate-analysis-womens-pay-statistics-misleading/

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