Ep. 17: Gendered laws

AEA Research Highlights

It’s well documented that women earn less than men for doing the same job. But the pay gap is just one way in which women are economically disadvantaged.

In some countries, women cannot work without their husband’s permission. They have restricted access to credit and are effectively penalized for having children. And this discrimination is not just governed by social norms; it is codified in the law.

In the American Economic Review: Insights, renowned economist Penny Goldberg and co-authors Marie Hyland and Simeon Djankov provide the first global picture of gender discrimination by the law as it affects women’s economic opportunities.

They dig into the World Bank’s newly compiled database of gendered laws covering 190 economies and going back 50 years to examine legal gender discrimination against women. Progress has been made, such as creating more job opportunities for women as demand for their labor has grown. But Goldberg said the progress has been uneven and there are some aspects of the law, especially around equal pay and parenthood, that have been slower to change.

Goldberg, a Yale professor and former vice president of the AEA, spoke with us about gender discrimination in the law, which countries are the most and least progressive, how legal reforms can result in a more equitable economy, and questions she would like to see other economists pursue.

*Music in the audio is by Sound of Picture.