Tuesday, August 17, 2010

Why Girly Jobs Don’t Pay Well


A really good kindergarten teacher is worth $320,000 annually, according to one recent estimate, well publicized in this newspaper. That would reflect the present value of the additional money that students in a really good kindergarten class can expect to earn over their careers.
But average pay for kindergarten teachers is only about $50,380. And even at that level, kindergarten teachers, many employed by public school systems, fare relatively well compared with those in similar jobs.
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As one online discussion of girly jobs explains, some women may just like these jobs despite the low pay.
Some empirical research supports this claim. In a careful analysis oflongitudinal data on earnings that includes survey questions regarding attitudes related to work preferences, Nicole Fortin, at economist at the University of British Columbia, finds that women tend to place less importance on money and more importance on people and family than men do.
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Caring often entails commitments to dependents such as young children, adults with disabilities or the frail elderly who can’t afford to pay directly for the services provided. It doesn’t fit easily into the impersonal logic of fee for service or supply and demand.
Further, caring often creates “outputs” that are not easily captured in market transactions, such as the increases in lifetime capabilities created by excellent kindergarten and preschool teachers.
It’s hard to imagine an explicit contract that could enable a care worker to “capture” the value-added – which extends well beyond increases in lifetime earnings to many less tangible benefits.
Good care helps create – and maintain – good people.
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I agree. And I argue that child care, elder care, education and many social services resemble health care in this respect. They are not commodities that can be efficiently produced by a purely market-based economic system.
What’s striking is the high cost of femininity. Many traits that contribute to women’s success in finding a male partner don’t pay off in the labor market – and vice versa. As one economic analysis of a speed-dating experiment puts it, “Men do not value women’s intelligence or ambition when it exceeds their own.” By contrast, intelligence and ambition contribute to men’s success in both the “dating market” and the labor market.
But men’s attitudes toward women (which are changing, albeit slowly) don’t tell the whole story. Another factor is women’s affinity for services that aren’t rewarded by a market-based economy.

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