Abstract
Gender wage gaps are frequently explained as resulting from direct discrimination, employers’ preferences over personality traits, and differing labor force attachment. We rely on a natural quasi-experiment using exogenous changes in state-level, same-sex adoption laws to distinguish between the competing explanations of the gender wage gap. Estimates from a differences-in-differences model show the wage gap between lesbians and heterosexual women shrank or inverted in those states which legalized adoption by same-sex couples. The wage gap did not change for men. This supports the parenthood hypothesis as a viable explanation for a portion of the gender wage gap.
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