2. MICROECONOMICS
Microeconomics is a branch of economics that focuses on the behavior, decisions, and interactions of individual economic agents at the level of individual firms, households, and markets. It examines how individuals and businesses make choices regarding the allocation of resources, such as goods and services, and how these decisions impact prices, supply and demand, and the overall functioning of specific markets. The type of work women have traditionally done varies by class and race. Poorer women have always worked for a wage and race discrimination often barred women of color from making free choices about the type of work they did and how they participated in markets. Gender discrimination of course impacted all women’s market choices. Key concepts in microeconomics include the theory of supply and demand, the role of competition, consumer behavior, production costs, market structures (such as perfect competition, monopoly, and oligopoly), and the determination of prices for goods and services.
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Microeconomics:
Throughout history, women across the world have played an invaluable role in supplying businesses, services, and goods to the economy. Countries who empower women in their economies see greater economic growth and success in all sectors. Without women in the economy, global and regional economic realities would look very different.
An early example of women being able to hold economic power in the United States can be seen in 1848, when the state of New York passed legislation that greatly increased women’s economic and ownership rights. The “Married Women’s Property Law” allowed married women to maintain the rights and profits of her property as if she was a single woman without any ties to a man. This law and others like it, in some ways, began to set precedent for women and economic freedom in the United States, paving the way for women to be able to seek economic gains on their own.
Prior to the Industrial Revolution in the United States, the household was considered the center of production in society. Therefore, both men and women had important roles to play in keeping the household running successfully. However, as industrialization took over the United States and men increasingly began to work outside the household, the work women did at home became more and more devalued, despite the important role it plays in keeping the economy afloat behind the scenes.
Although the Industrial Revolution saw more women working in the manufacturing sector, the dominant ideology of the Cult of Domesticity persisted. Women staying home instead of going to work was seen as vital to the success of her husband in the outside work sector, but, beyond this, was extremely undervalued.
As the United States pivoted into World War II, women in the workforce kept the economy of the United States afloat. The labor, goods, and services that women began to supply to both the domestic and global economy were imperative in maintaining the strength of the war effort. Just like the rest of the world, the United States’ economy was inextricably tied to the war, so the production of supplies like weaponry and machinery was vital in the maintenance of the economy.
Throughout history, women across the world have played an invaluable role in supplying businesses, services, and goods to the economy. Countries who empower women in their economies see greater economic growth and success in all sectors. Without women in the economy, global and regional economic realities would look very different.
An early example of women being able to hold economic power in the United States can be seen in 1848, when the state of New York passed legislation that greatly increased women’s economic and ownership rights. The “Married Women’s Property Law” allowed married women to maintain the rights and profits of her property as if she was a single woman without any ties to a man. This law and others like it, in some ways, began to set precedent for women and economic freedom in the United States, paving the way for women to be able to seek economic gains on their own.
Prior to the Industrial Revolution in the United States, the household was considered the center of production in society. Therefore, both men and women had important roles to play in keeping the household running successfully. However, as industrialization took over the United States and men increasingly began to work outside the household, the work women did at home became more and more devalued, despite the important role it plays in keeping the economy afloat behind the scenes.
Although the Industrial Revolution saw more women working in the manufacturing sector, the dominant ideology of the Cult of Domesticity persisted. Women staying home instead of going to work was seen as vital to the success of her husband in the outside work sector, but, beyond this, was extremely undervalued.
As the United States pivoted into World War II, women in the workforce kept the economy of the United States afloat. The labor, goods, and services that women began to supply to both the domestic and global economy were imperative in maintaining the strength of the war effort. Just like the rest of the world, the United States’ economy was inextricably tied to the war, so the production of supplies like weaponry and machinery was vital in the maintenance of the economy.
Women as Consumers in the Economy Today
Women make more purchasing decisions for families than men do. In fact, women represent 85% of global consumer spending, or $31 trillion of spending annually. Women have long been seen as a highly-specific demographic for companies to market their products and services to, but women actually make up an incredible majority of consumers and, in this way, have greater purchasing power than men.
Despite this significant consumer power, women face the phenomenon of the “Pink Tax” while shopping for goods that are specifically tailored to them. Traditionally, the “Pink Tax” referred to the extra taxes on menstrual care products, a necessity, that many states have. However, it has since expanded to explain the incredible price difference between items that are of the same quality but marketed to men and women separately. Generally, in the United States, products for women cost about 7% more than products for men, costing women thousands of extra dollars across their lifetimes. Sometimes, the “pink Tax” is also seen in conjunction with smaller-sized items, so, not only are women paying more for the same quality, but they are also paying more for less.
This economic pattern isn’t just seen with health care and beauty products; it also often applies to toys marketed toward girls versus boys, or even toys of the same make and model that are simply pink instead of blue or red. In this regard, the “Pink Tax” has resounding economic effects on both women individually as well as on their families.
Women make more purchasing decisions for families than men do. In fact, women represent 85% of global consumer spending, or $31 trillion of spending annually. Women have long been seen as a highly-specific demographic for companies to market their products and services to, but women actually make up an incredible majority of consumers and, in this way, have greater purchasing power than men.
Despite this significant consumer power, women face the phenomenon of the “Pink Tax” while shopping for goods that are specifically tailored to them. Traditionally, the “Pink Tax” referred to the extra taxes on menstrual care products, a necessity, that many states have. However, it has since expanded to explain the incredible price difference between items that are of the same quality but marketed to men and women separately. Generally, in the United States, products for women cost about 7% more than products for men, costing women thousands of extra dollars across their lifetimes. Sometimes, the “pink Tax” is also seen in conjunction with smaller-sized items, so, not only are women paying more for the same quality, but they are also paying more for less.
This economic pattern isn’t just seen with health care and beauty products; it also often applies to toys marketed toward girls versus boys, or even toys of the same make and model that are simply pink instead of blue or red. In this regard, the “Pink Tax” has resounding economic effects on both women individually as well as on their families.
Goods and Services Women Supply in Economies Today
Today, we have seen an incredible increase in the way women work and what they supply to the economy. If, collectively, all women workers in the United States took just a single day off, the country would be down $21 billion in terms of GDP. This number points to both the necessity of women in the labor market in keeping the United States’ economy afloat and the progress women have made in securing economic and labor gains.
The dominant sector for women workers in the United States is Healthcare, Education, Administration, and Literacy (HEAL jobs), where 74.8% of workers are women.Women also outnumber men in the Retail and Leisure & Hospitality sectors. Women tend to have lower participation in sectors such as Manufacturing, Transportation & Utilities, and Agriculture. These HEAL jobs became “women’s work” during and after the Industrial Revolution because they were seen as extensions of women’s natural caregiving responsibilities. Due to the way that male union leaders worked to protect male wages at the expense of women’s, almost all jobs traditionally done by women are valued less in society monetarily. Childcare workers, almost all women, earn the equivalent of a cashier or food service worker on average. When traditional women’s work is underpaid across industries, it should be obvious that it’s not the difficulty of the job, the risk involved, or the training required to do it—it’s about the gender of the people who traditionally do it.
Teachers are a prime example of women’s jobs being paid less. Teacher posts in the nineteenth century advertised publicly that female teachers were paid one-third the salary of male teachers! Schools were filled with brilliant and highly educated women whose other respectable alternatives were factories or domestic servitude. Educated women became teachers when other jobs were denied to them. Despite being paid less than men, female teachers into the mid-1990s benefitted from a wage “premium” compared to women in other fields. But in the 1990s, women were welcomed into other higher-paying fields in greater numbers, which changed their circumstances. As more fields opened to women, many women left teaching, but they remained the primary labor behind education—still 75 percent today. Men, meanwhile, took a major hit in their salaries by becoming teachers. Today, that penalty remains high at 35 percent. The expectation that teachers’ salaries remain low persists in both public and private schools. In 1960, female teachers had a 14.7 percent wage premium; by 2021, they had a 17.1 percent wage penalty. In those six decades, there was a huge negative shift for women teachers, and in 2021, teacher salaries reached an all-time low since the Economic Policy Institute began tracking their data at the turn of the millennium. Factoring in the vast benefits public employees tend to receive, the EPI found that teachers earn about 20 percent less nationally than those with similar degrees in other fields, though it varies considerably by state. Nowhere in the United States do teachers earn more than their counterparts in other fields.
Women in various fields routinely request equal pay but are denied because of comparisons to similar jobs within that field, a flawed comparison that perpetuates the wage gap. When jobs are compared between comparable “male” and “female” fields, however, the pay gap is significant. The Institute for Women’s Policy Research compared elementary school teachers, the most common female occupation, to software developers, the most common male occupation. Both jobs require similar degrees, risks, and burdens. On average elementary school teachers earned $982 per week, while software developers made $1,894 per week, not to mention the fact that female software developers make $200 less per week than their male peers on average.
Today, we have seen an incredible increase in the way women work and what they supply to the economy. If, collectively, all women workers in the United States took just a single day off, the country would be down $21 billion in terms of GDP. This number points to both the necessity of women in the labor market in keeping the United States’ economy afloat and the progress women have made in securing economic and labor gains.
The dominant sector for women workers in the United States is Healthcare, Education, Administration, and Literacy (HEAL jobs), where 74.8% of workers are women.Women also outnumber men in the Retail and Leisure & Hospitality sectors. Women tend to have lower participation in sectors such as Manufacturing, Transportation & Utilities, and Agriculture. These HEAL jobs became “women’s work” during and after the Industrial Revolution because they were seen as extensions of women’s natural caregiving responsibilities. Due to the way that male union leaders worked to protect male wages at the expense of women’s, almost all jobs traditionally done by women are valued less in society monetarily. Childcare workers, almost all women, earn the equivalent of a cashier or food service worker on average. When traditional women’s work is underpaid across industries, it should be obvious that it’s not the difficulty of the job, the risk involved, or the training required to do it—it’s about the gender of the people who traditionally do it.
Teachers are a prime example of women’s jobs being paid less. Teacher posts in the nineteenth century advertised publicly that female teachers were paid one-third the salary of male teachers! Schools were filled with brilliant and highly educated women whose other respectable alternatives were factories or domestic servitude. Educated women became teachers when other jobs were denied to them. Despite being paid less than men, female teachers into the mid-1990s benefitted from a wage “premium” compared to women in other fields. But in the 1990s, women were welcomed into other higher-paying fields in greater numbers, which changed their circumstances. As more fields opened to women, many women left teaching, but they remained the primary labor behind education—still 75 percent today. Men, meanwhile, took a major hit in their salaries by becoming teachers. Today, that penalty remains high at 35 percent. The expectation that teachers’ salaries remain low persists in both public and private schools. In 1960, female teachers had a 14.7 percent wage premium; by 2021, they had a 17.1 percent wage penalty. In those six decades, there was a huge negative shift for women teachers, and in 2021, teacher salaries reached an all-time low since the Economic Policy Institute began tracking their data at the turn of the millennium. Factoring in the vast benefits public employees tend to receive, the EPI found that teachers earn about 20 percent less nationally than those with similar degrees in other fields, though it varies considerably by state. Nowhere in the United States do teachers earn more than their counterparts in other fields.
Women in various fields routinely request equal pay but are denied because of comparisons to similar jobs within that field, a flawed comparison that perpetuates the wage gap. When jobs are compared between comparable “male” and “female” fields, however, the pay gap is significant. The Institute for Women’s Policy Research compared elementary school teachers, the most common female occupation, to software developers, the most common male occupation. Both jobs require similar degrees, risks, and burdens. On average elementary school teachers earned $982 per week, while software developers made $1,894 per week, not to mention the fact that female software developers make $200 less per week than their male peers on average.
The Pay Gap
The “pay gap” refers to the difference between the average male and female salaries. Economists will break the gap down to how much money, on average, men make per hour compared to women. The question is not whether there is a pay gap, but what should be done about it and why does it exist?
There will be more on this in the Macroeconomics chapter. While the pay gap is fueled by discrimination in how society values the types of work women tend to do compared to the type of work men tend to do, it is also notably and flagrantly biased within fields. Many people, like psychologist Jordan Peterson, blame the challenges women face in workplace advancement on women and their choices. He believes women are choosing to make less—women are the reason for the pay penalty. As an extension, the answer to the question is that nothing should be done about the pay gap because it’s women’s fault that they make less. He says women are less cutthroat in their careers and that elite women often give up their high wages when they marry wealthy men.[2] Studies have shown that women, before they have kids, are able to advance in their careers using the same strategies as men and that women are giving up wages for children because of systemic failures that make childcare less accessible and workplaces less flexible for mothers of young children. Many of these elite women return to their careers once their children enter school only to find that the game has changed, their skills are lacking, and their male colleagues have put in many hours in their absence to earn higher hourly salaries: catching up after a hiatus is unlikely.
Another commonly argued position against the pay gap’s existence is to challenge the math. In his scathing article about the pay gap, John Phelan of the FEE claimed that arguments about the pay gap between men and women are flawed because it averages male and female salaries.[3] He said that looking at the data this way does not account for choices women make, asserting that women on average work 7 hours a day to the 8 hours the average male worker puts in. He said that anyone who works less than someone else should expect to earn less. The question then is why would women and their families make choices that lead to women working and therefore earning less? The “why” explains everything and helps find solutions to the pay gap.
In her work which won her the Nobel Prize for Economics, Dr. Claudia Goldin found that while in the past, gaps in wages could be explained by men earning more degrees or working in fields that were paid better, those excuses are no longer valid. Dr. Goldin showed that, “most of the earnings difference is now between men and women in the same jobs… [and occurs] after the birth of a woman’s first child” (Goldin). This concept is what economists call the “Motherhood Penalty.” Men who have children by contrast receive a pay bump!
Women do make choices that contribute to their own invisibility and lower income, but the notion that this is a free choice rather than a constrained and economic one is simply not true. When one adds layers like race, these choices are even more difficult. In their salaried roles, obviously the answer is yes. But if all things were equal, why would women work less? The answer is that all things are not equal.
Harvard researchers, for example, examined data collected from the highly unionized and regulated Massachusetts Bay Transportation Authority (MBTA), where wage differences between men and women were virtually unthinkable. The union contract was written in a way to bar a sexist boss from favoring male employees. Workers had access to the same choices that could advance their careers. Here is Phelan’s analysis of the study:
They found that male train and bus drivers worked about 83 percent more overtime than their female colleagues and were twice as likely to accept an overtime shift—which pays time-and-a-half—on short notice and that around twice as many women as men never took overtime. The male workers took 48 percent fewer unpaid hours off under the Family Medical Leave Act each year. Female workers were more likely to take less desirable routes if it meant working fewer nights, weekends, and holidays. Parenthood turns out to be an important factor. Fathers were more likely than childless men to want the extra cash from overtime, and mothers were more likely to want time off than childless women.[4]
His conclusion is actually very similar to those of IWPR, but their analysis of the implications is different: that women’s perceived “choices” are not freely made choices. Families at the peak of their professional careers are also often raising children, and this family choice has a disproportionate impact on the woman’s career: a pay penalty. The Center for American Progress explained:
Today, many families with young children must make a choice between spending a significant portion of their income on child care, finding a cheaper, but potentially lower-quality care option, or leaving the workforce altogether to become a full-time caregiver. Whether due to high cost, limited availability, or inconvenient program hours, child care challenges are driving parents out of the workforce at an alarming rate. In fact, in 2016 alone, an estimated 2 million parents made career sacrifices due to problems with child care.
Child care challenges have become a barrier to work, especially for mothers, who disproportionately take on unpaid caregiving responsibilities when their family cannot find or afford child care. In a 2018 survey conducted by the Center for American Progress, mothers were 40 percent more likely than fathers to report that they had personally felt the negative impact of child care issues on their careers. Why is it difficult for young families to find childcare? Answer: we have a long history of expecting women’s work to be free and thus underfunding the people who do this vital work.
The IWPR concluded in their expansive study and research into the data of more than 125 occupations that “women’s median earnings are lower than men’s in nearly all occupations, whether they work in occupations predominantly done by women, occupations predominantly done by men, or occupations with a more even mix of men and women” (IWPR). This was true between men and women of the same race as well. Perhaps the most famous example is that of the US national soccer teams, where women earn substantially less than men. The argument is that the women’s game generates less revenue than the men’s– but this is increasingly not standing up to evidence. The US women’s team actually earns a higher percentage of revenue than the men’s team does, but the women argue that the commitment and labor are equivalent and should garner equal pay. The argument is about value: how do we as a society value the people who work in it? When people put in equal effort, risk, and time, shouldn’t they be paid similarly?
The wage gap is closing in part because women are earning more and male wages are stagnating—this is not how anyone wants the gap to close. In 1979, only 13% of women earned more than the median man. Today, it’s 40% which is not perfect equality, but it is an incredible change in such a short amount of time. Men by contrast have seen wages stagnate, and with fewer going to college, their career prospects are limited. Since 1980, median earnings for men with only a high school diploma have decreased by 28 percent! As Senior Analyst Richard Reeves puts it, “male jobs have been hit by a one-two punch of automation and free trade” not feminism (Reeves).
The “pay gap” refers to the difference between the average male and female salaries. Economists will break the gap down to how much money, on average, men make per hour compared to women. The question is not whether there is a pay gap, but what should be done about it and why does it exist?
There will be more on this in the Macroeconomics chapter. While the pay gap is fueled by discrimination in how society values the types of work women tend to do compared to the type of work men tend to do, it is also notably and flagrantly biased within fields. Many people, like psychologist Jordan Peterson, blame the challenges women face in workplace advancement on women and their choices. He believes women are choosing to make less—women are the reason for the pay penalty. As an extension, the answer to the question is that nothing should be done about the pay gap because it’s women’s fault that they make less. He says women are less cutthroat in their careers and that elite women often give up their high wages when they marry wealthy men.[2] Studies have shown that women, before they have kids, are able to advance in their careers using the same strategies as men and that women are giving up wages for children because of systemic failures that make childcare less accessible and workplaces less flexible for mothers of young children. Many of these elite women return to their careers once their children enter school only to find that the game has changed, their skills are lacking, and their male colleagues have put in many hours in their absence to earn higher hourly salaries: catching up after a hiatus is unlikely.
Another commonly argued position against the pay gap’s existence is to challenge the math. In his scathing article about the pay gap, John Phelan of the FEE claimed that arguments about the pay gap between men and women are flawed because it averages male and female salaries.[3] He said that looking at the data this way does not account for choices women make, asserting that women on average work 7 hours a day to the 8 hours the average male worker puts in. He said that anyone who works less than someone else should expect to earn less. The question then is why would women and their families make choices that lead to women working and therefore earning less? The “why” explains everything and helps find solutions to the pay gap.
In her work which won her the Nobel Prize for Economics, Dr. Claudia Goldin found that while in the past, gaps in wages could be explained by men earning more degrees or working in fields that were paid better, those excuses are no longer valid. Dr. Goldin showed that, “most of the earnings difference is now between men and women in the same jobs… [and occurs] after the birth of a woman’s first child” (Goldin). This concept is what economists call the “Motherhood Penalty.” Men who have children by contrast receive a pay bump!
Women do make choices that contribute to their own invisibility and lower income, but the notion that this is a free choice rather than a constrained and economic one is simply not true. When one adds layers like race, these choices are even more difficult. In their salaried roles, obviously the answer is yes. But if all things were equal, why would women work less? The answer is that all things are not equal.
Harvard researchers, for example, examined data collected from the highly unionized and regulated Massachusetts Bay Transportation Authority (MBTA), where wage differences between men and women were virtually unthinkable. The union contract was written in a way to bar a sexist boss from favoring male employees. Workers had access to the same choices that could advance their careers. Here is Phelan’s analysis of the study:
They found that male train and bus drivers worked about 83 percent more overtime than their female colleagues and were twice as likely to accept an overtime shift—which pays time-and-a-half—on short notice and that around twice as many women as men never took overtime. The male workers took 48 percent fewer unpaid hours off under the Family Medical Leave Act each year. Female workers were more likely to take less desirable routes if it meant working fewer nights, weekends, and holidays. Parenthood turns out to be an important factor. Fathers were more likely than childless men to want the extra cash from overtime, and mothers were more likely to want time off than childless women.[4]
His conclusion is actually very similar to those of IWPR, but their analysis of the implications is different: that women’s perceived “choices” are not freely made choices. Families at the peak of their professional careers are also often raising children, and this family choice has a disproportionate impact on the woman’s career: a pay penalty. The Center for American Progress explained:
Today, many families with young children must make a choice between spending a significant portion of their income on child care, finding a cheaper, but potentially lower-quality care option, or leaving the workforce altogether to become a full-time caregiver. Whether due to high cost, limited availability, or inconvenient program hours, child care challenges are driving parents out of the workforce at an alarming rate. In fact, in 2016 alone, an estimated 2 million parents made career sacrifices due to problems with child care.
Child care challenges have become a barrier to work, especially for mothers, who disproportionately take on unpaid caregiving responsibilities when their family cannot find or afford child care. In a 2018 survey conducted by the Center for American Progress, mothers were 40 percent more likely than fathers to report that they had personally felt the negative impact of child care issues on their careers. Why is it difficult for young families to find childcare? Answer: we have a long history of expecting women’s work to be free and thus underfunding the people who do this vital work.
The IWPR concluded in their expansive study and research into the data of more than 125 occupations that “women’s median earnings are lower than men’s in nearly all occupations, whether they work in occupations predominantly done by women, occupations predominantly done by men, or occupations with a more even mix of men and women” (IWPR). This was true between men and women of the same race as well. Perhaps the most famous example is that of the US national soccer teams, where women earn substantially less than men. The argument is that the women’s game generates less revenue than the men’s– but this is increasingly not standing up to evidence. The US women’s team actually earns a higher percentage of revenue than the men’s team does, but the women argue that the commitment and labor are equivalent and should garner equal pay. The argument is about value: how do we as a society value the people who work in it? When people put in equal effort, risk, and time, shouldn’t they be paid similarly?
The wage gap is closing in part because women are earning more and male wages are stagnating—this is not how anyone wants the gap to close. In 1979, only 13% of women earned more than the median man. Today, it’s 40% which is not perfect equality, but it is an incredible change in such a short amount of time. Men by contrast have seen wages stagnate, and with fewer going to college, their career prospects are limited. Since 1980, median earnings for men with only a high school diploma have decreased by 28 percent! As Senior Analyst Richard Reeves puts it, “male jobs have been hit by a one-two punch of automation and free trade” not feminism (Reeves).
Contrasting Industries with and without a Pay Gap
Instead of lamenting the pay gap, there are shining examples of careers in industries where motherhood has less of an impact on women’s wages: Pharmacy. In her book "Career and Family: Women’s Century-Long Journey toward Equity," Harvard Professor, Dr. Claudia Goldin examined how women across generations addressed the challenge of balancing career and family. In her research, Pharmacy emerged as an egalitarian occupation with considerable financial rewards. Female pharmacists, ranking fifth in median earnings among almost five hundred occupations, make basically the same amount as their male counterparts when adjusted for working hours, as reported in the US census for full-time, full-year workers. This contrasts with the legal field, where gender inequality persists despite similar increases in female representation and specialized graduate schooling.
The key to understanding the pay gap is in understanding the difference between the two professions. Historically, both pharmacists and lawyers shared traits like long and irregular working hours, high self-employment, and associated risks. While these features continue to define the legal profession, modern pharmacists operate differently. In 1965, female pharmacists constituted less than 10 percent of pharmacists and earned 67 cents on the male pharmacist’s dollar because, most often, the male pharmacist was also the owner of the pharmacy. Pharmacists, particularly those working longer hours, earned more per hour, echoing similarities with today’s legal and financial sectors.
When pharmacies transitioned from private ownership to corporate entities, self-employed pharmacists all but disappeared which created greater gender equality. Consumers became accustomed to getting their medications from whichever pharmacist was on duty at the time they arrived, not “their” pharmacist. This same evolution has not happened in law, where consumers still demand “their” lawyer. The emphasis on personal contact perpetuates pay discrimination in the law profession.
Instead of lamenting the pay gap, there are shining examples of careers in industries where motherhood has less of an impact on women’s wages: Pharmacy. In her book "Career and Family: Women’s Century-Long Journey toward Equity," Harvard Professor, Dr. Claudia Goldin examined how women across generations addressed the challenge of balancing career and family. In her research, Pharmacy emerged as an egalitarian occupation with considerable financial rewards. Female pharmacists, ranking fifth in median earnings among almost five hundred occupations, make basically the same amount as their male counterparts when adjusted for working hours, as reported in the US census for full-time, full-year workers. This contrasts with the legal field, where gender inequality persists despite similar increases in female representation and specialized graduate schooling.
The key to understanding the pay gap is in understanding the difference between the two professions. Historically, both pharmacists and lawyers shared traits like long and irregular working hours, high self-employment, and associated risks. While these features continue to define the legal profession, modern pharmacists operate differently. In 1965, female pharmacists constituted less than 10 percent of pharmacists and earned 67 cents on the male pharmacist’s dollar because, most often, the male pharmacist was also the owner of the pharmacy. Pharmacists, particularly those working longer hours, earned more per hour, echoing similarities with today’s legal and financial sectors.
When pharmacies transitioned from private ownership to corporate entities, self-employed pharmacists all but disappeared which created greater gender equality. Consumers became accustomed to getting their medications from whichever pharmacist was on duty at the time they arrived, not “their” pharmacist. This same evolution has not happened in law, where consumers still demand “their” lawyer. The emphasis on personal contact perpetuates pay discrimination in the law profession.
Women and Businesses
In the United States, there are over 14 million women-owned small businesses. This number makes up 40% of all businesses in the United States and generates $2.7 trillion annually. In the last couple of decades, the small business sector as seen an enormous increase in women-owned businesses. In fact, from 1997 to 2017, women-owned businesses have increased by 114%.
Women tend to have businesses centered in the Healthcare & Social Assistance sector as well as the Professional, Scientific, & Technical Assistance sector most often. Although women-owned business trends are improving, it is also important to look at women representation in other aspects of business, such as executive boards. Companies who have the most gender diversity on their boards are actually 25% more likely to have above-average profits than comparable businesses.
Globally, about 1 in 3 entrepreneurs who have their own up-and-running business are women, and women are also more likely than men to be starting a business by themselves rather than with a business partner. In lower-income countries, a higher percentage of women had plans to create their own business than in countries with a higher income. Moreover, start-up rates for women were also much higher in low-income areas. Across the world, women entrepreneurs are usually younger and more highly educated than men entrepreneurs. This both represents the education barrier that women face and the fact that women feel more pressure to start businesses before starting a family, since women are often expected to stay home and raise children.
Although statistics for men and women in the business and entrepreneurship world are not quite equal yet, women have made incredible strides at securing business opportunities throughout the world.
In the United States, there are over 14 million women-owned small businesses. This number makes up 40% of all businesses in the United States and generates $2.7 trillion annually. In the last couple of decades, the small business sector as seen an enormous increase in women-owned businesses. In fact, from 1997 to 2017, women-owned businesses have increased by 114%.
Women tend to have businesses centered in the Healthcare & Social Assistance sector as well as the Professional, Scientific, & Technical Assistance sector most often. Although women-owned business trends are improving, it is also important to look at women representation in other aspects of business, such as executive boards. Companies who have the most gender diversity on their boards are actually 25% more likely to have above-average profits than comparable businesses.
Globally, about 1 in 3 entrepreneurs who have their own up-and-running business are women, and women are also more likely than men to be starting a business by themselves rather than with a business partner. In lower-income countries, a higher percentage of women had plans to create their own business than in countries with a higher income. Moreover, start-up rates for women were also much higher in low-income areas. Across the world, women entrepreneurs are usually younger and more highly educated than men entrepreneurs. This both represents the education barrier that women face and the fact that women feel more pressure to start businesses before starting a family, since women are often expected to stay home and raise children.
Although statistics for men and women in the business and entrepreneurship world are not quite equal yet, women have made incredible strides at securing business opportunities throughout the world.
Women Throughout the Rest of the World
Of course, the goods, services, and labor that women provide economically look different when comparing different places in the world. For example, throughout the continent of Africa, women make up more than 70% of those who informally cross borders to trade goods such as food, crafts, manufactured items, and more. Because this trade happens in a highly informal setting, women who participate often face many violent barriers, including but not limited to harassment and imprisonment. However, in 2018, the African Continental Free Trade Area was established, which strengthens the way intrastate commerce and trading is conducted and provides better and more standard protections for traders. Additionally, it makes formal trading a more accessible space, allowing more informal traders to transition their commerce into the formal sphere.
The creation of the African Continental Free Trade Area was a win for the African continent as a whole, but also offered significant improvements for women working within the trade economy. This type of intrastate commerce and trading is crucial to the economic development of many countries, and women play an overwhelming role in keeping it alive and growing.
In Latin America and the Caribbean, women, throughout the 21st century, saw an increase in economic earnings, number of jobs, and overall power within the economy. For example, the number of women participating in the labor market in the area of Latin America and the Caribbean increased by 15% from 2000-2010, while male workers only saw an increase of 2%. This increase in numbers can largely be connected to more accessible educational initiatives and practices. However, Latin America and the Caribbean is a large area, and the statistics do not hold true for each individual country.
Domestic work plays a unique role in both global and regional economies. This type of work is notoriously undervalued and underpaid, with workers facing increased violations as opposed to many other sectors. In Latin America, women make up 93% of domestic workers in the region, the type of work that accounts for 14.3% of all female employment. However, over 77.5% of domestic work occurs in the informal sector. This number is alarming for the fact that the informal sector has fewer protections for workers. Yet, domestic work in both the formal and informal sectors also exists as a pathway to other types of work and remains an important stepping stone for many women in order to gain more financial and economic freedom.
Of course, the goods, services, and labor that women provide economically look different when comparing different places in the world. For example, throughout the continent of Africa, women make up more than 70% of those who informally cross borders to trade goods such as food, crafts, manufactured items, and more. Because this trade happens in a highly informal setting, women who participate often face many violent barriers, including but not limited to harassment and imprisonment. However, in 2018, the African Continental Free Trade Area was established, which strengthens the way intrastate commerce and trading is conducted and provides better and more standard protections for traders. Additionally, it makes formal trading a more accessible space, allowing more informal traders to transition their commerce into the formal sphere.
The creation of the African Continental Free Trade Area was a win for the African continent as a whole, but also offered significant improvements for women working within the trade economy. This type of intrastate commerce and trading is crucial to the economic development of many countries, and women play an overwhelming role in keeping it alive and growing.
In Latin America and the Caribbean, women, throughout the 21st century, saw an increase in economic earnings, number of jobs, and overall power within the economy. For example, the number of women participating in the labor market in the area of Latin America and the Caribbean increased by 15% from 2000-2010, while male workers only saw an increase of 2%. This increase in numbers can largely be connected to more accessible educational initiatives and practices. However, Latin America and the Caribbean is a large area, and the statistics do not hold true for each individual country.
Domestic work plays a unique role in both global and regional economies. This type of work is notoriously undervalued and underpaid, with workers facing increased violations as opposed to many other sectors. In Latin America, women make up 93% of domestic workers in the region, the type of work that accounts for 14.3% of all female employment. However, over 77.5% of domestic work occurs in the informal sector. This number is alarming for the fact that the informal sector has fewer protections for workers. Yet, domestic work in both the formal and informal sectors also exists as a pathway to other types of work and remains an important stepping stone for many women in order to gain more financial and economic freedom.
Conclusion
Throughout history, women, just like men, have played a role in a variety of sectors of work and business, something normally influenced by politics, trade, and geopolitical relations. The goods, services, and business that women supply to the world, regional, and local economies is crucial to the survival and maintenance of modern economic systems. The COVID-19 pandemic exacerbated many longstanding inequities, but many parts of the world are also seeing gender gaps in economics begin to close.
Throughout history, women, just like men, have played a role in a variety of sectors of work and business, something normally influenced by politics, trade, and geopolitical relations. The goods, services, and business that women supply to the world, regional, and local economies is crucial to the survival and maintenance of modern economic systems. The COVID-19 pandemic exacerbated many longstanding inequities, but many parts of the world are also seeing gender gaps in economics begin to close.
Draw your own conclusions
Learn how to teach with inquiry.
Many of these lesson plans were sponsored in part by the Library of Congress Teaching with Primary Sources Eastern Region Program, coordinated by Waynesburg University, the History and Social Studies Education Faculty at Plymouth State University, and the Patrons of the Remedial Herstory Project. |
Lesson Plans from Other Organizations
- The National Women's History Museum has lesson plans on women's history.
- The Guilder Lehrman Institute for American History has lesson plans on women's history.
- The NY Historical Society has articles and classroom activities for teaching women's history.
- Unladylike 2020, in partnership with PBS, has primary sources to explore with students and outstanding videos on women from the Progressive era.
- The Roy Rosenzweig Center for History and New Media has produced recommendations for teaching women's history with primary sources and provided a collection of sources for world history. Check them out!
- The Stanford History Education Group has a number of lesson plans about women in US History.
Period Specific Lesson Plans from Other Organizations
- C3 Teachers: This inquiry leads students through an investigation of the LGBTQ+ movement, primarily driven by the history of the movement through various accounts and perspectives. The compelling question—What makes a movement successful?—does not address whether or not the movement was successful, but instead assesses the components of a movement and whether the movement is in a period of growth or has already peaked. Although the focus of this inquiry is on the LGBTQ+ movement, parallels can be drawn to other social movements in history with respect to organization, activism, and overall execution, including the Civil Rights Movement or the women’s suffrage and rights movements. Specifically, this inquiry looks at four different aspects that can potentially shape a movement in its foundation as well as its rise, namely public reaction, government leaders and policies, Supreme Court cases, and personal experiences. Throughout the inquiry, students will examine each individual aspect independently, evaluating the merits, strengths, and significance of each provided source in the “Movement Analysis Organization Chart,” but the summative task will require a compilation and synthesis of the sources in this investigation in order to form an argument to address the compelling question.
- Voices of Democracy: In the speech Clinton positioned the United States as the moral authority in monitoring and enforcing sanctions for global human trafficking, while at the same time reiterating the importance of international cooperation and partnerships.
- Clio: In 1972, feminists in Washington, D.C. founded the nation’s first rape crisis center. Other centers were soon established across the country. In 1994, Congress passed the Violence Against Women Act (VAWA). The act was created in response to the nation-wide, grassroots work of activists concerned with domestic violence, sexual assault, date rape, and stalking. This lesson introduces students to the history of efforts to stop violence against women.
- National Women’s History Museum: How has the Supreme Court shaped the lives of American women between 1908-2005? Students will analyze one of four Supreme Court cases that relate to the constitutional rights of women decided between 1908-2005. Students will become mini-experts on one Supreme Court cases and they will be exposed to the content, themes, and questions from the other three cases via peer to peer instruction of their classmates. The goal of this lesson is to introduce students to a broad range of Supreme Court cases that have impacted American women and to have them develop a working knowledge and expertise of at least one case by using primary sources such as the case ruling and secondary sources that will help students to understand the context.
- National History Day: Patsy Takemoto Mink (1927-2002) was born in Hawaii. She studied in Pennsylvania and Nebraska before moving back to Hawaii to earn her undergraduate degree and eventually received her J.D. from the University of Chicago in 1951. She moved back to Hawaii with her husband, John Francis Mink, and founded the Oahu Young Democrats in 1954. In the 1950s, Mink served as both a member of the territorial house of representatives and Hawaii Senate. After Hawaii achieved statehood in 1959, Mink unsuccessfully ran for the U.S. House of Representatives. Mink campaigned for the second representative seat in 1964 and won, making her the first woman of color and first Asian American woman to be elected to Congress. Mink is best known for her support of President Lyndon B. Johnson’s Great Society legislation, as well as her advocacy for women’s issues and equal rights. Mink worked tirelessly to earn support for the critical Title IX Amendment from her comprehensive education bill called Women’s Education Equity Act. Mink took a break from Congress after an unsuccessful bid for the Senate, but returned to Congress in 1990 and served until her death in September 2002.
- C3 Teachers: This twelfth grade annotated inquiry leads students through an investigation of a hotly debated issue in the United States: the gender wage gap. The compelling question “What should we do about the gender wage gap?” asks students to grapple not only with how to quantify and interpret the gap but also to consider ways of addressing the problem. Throughout the inquiry, students consider the degree to which economic inequality reflects social, political, or economic injustices or whether it simply reflects individual choices and the role the government should play in decreasing income inequality. Although this inquiry is rooted in a question about economics, no social issue is fully understood without examining a range of economic, historical, geographic, and political concepts in order to craft a full-bodied, evidence-based argument. This inquiry looks at the complexity of the gender wage gap issue through all four social studies disciplines. Students examine the structural factors that influence women’s choices as well as historical (e.g., Equal Pay Act of 1963) and pending (e.g., Paycheck Fairness Act) legislative efforts. Ultimately, students must find a way to measure the gender wage gap, determine if it is an issue worth addressing, and, if so, how to best address it, including private and public sector solutions.
Clever Girl Finance
This educational organization helps women manage their finances and start businesses. This link will take you to an article on their website about starting a business, but there is much more to explore on their site. Their site states:
"Clever Girl Finance® is one of the largest personal finance media/education platforms for women in the U.S. and we have consistently been voted one of the best finance websites for women by the Plutus Awards celebrating excellence in financial media."
Ellevest
Ellevest is a company that supports women as they make investments. On their site they have articles for women as they consider retirement, divorce, wealth management, and home ownership. This link will take you to an article on their website about starting a business, but there is much more to explore on their site. Their website states:
"Things are just different for women. Having a financial plan that actually considers those differences is key to building your wealth and reaching your goals... Ellevest was built specifically to account for women’s differences. Traditional financial companies weren't. Women earn 83 cents for every dollar earned by men. That’s a $900k disparity (or more) over a lifetime. 74% of women die single — i.e. we ultimately benefit from staying in control of our own finances. 62% of women say they have unique investment needs that aren’t understood by other advisors."
This educational organization helps women manage their finances and start businesses. This link will take you to an article on their website about starting a business, but there is much more to explore on their site. Their site states:
"Clever Girl Finance® is one of the largest personal finance media/education platforms for women in the U.S. and we have consistently been voted one of the best finance websites for women by the Plutus Awards celebrating excellence in financial media."
Ellevest
Ellevest is a company that supports women as they make investments. On their site they have articles for women as they consider retirement, divorce, wealth management, and home ownership. This link will take you to an article on their website about starting a business, but there is much more to explore on their site. Their website states:
"Things are just different for women. Having a financial plan that actually considers those differences is key to building your wealth and reaching your goals... Ellevest was built specifically to account for women’s differences. Traditional financial companies weren't. Women earn 83 cents for every dollar earned by men. That’s a $900k disparity (or more) over a lifetime. 74% of women die single — i.e. we ultimately benefit from staying in control of our own finances. 62% of women say they have unique investment needs that aren’t understood by other advisors."
Remedial Herstory Editors. "2. MICROECONOMICS." The Remedial Herstory Project. January 1, 2024. www.remedialherstory.com.
Nonfiction's on Economics
In Fairy Play, Rodsky interviewed more than five hundred men and women from all walks of life to figure out what the invisible work in a family actually entails and how to get it all done efficiently.
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In The Double X Economy, Scott argues on the strength of hard data and on-the-ground experience that removing those barriers to women’s success is a win for everyone, regardless of gender.
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In this short, accessible primer, Bell Hooks explores the nature of feminism and its positive promise to eliminate sexism, sexist exploitation, and oppression.
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In Smart Women Love Money, Finn paves the way forward by showing you that the power of investing is the last frontier of feminism. Finn shares five simple and proven strategies for a woman at any stage of her life, whether starting a career, home raising children, or heading up a major corporation.
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In Financial Feminist, Dunlap distills the principles of her shame- and judgment-free approach to paying off debt, figuring out your value categories to spend mindfully, saving money without monk-like deprivation, and investing in order to spend your retirement tanning in Tulum.
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Caroline Criado Perez investigates this shocking root cause of gender inequality in Invisible Women. Examining the home, the workplace, the public square, the doctor’s office, and more, Criado Perez unearths a dangerous pattern in data and its consequences on women’s lives.
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Written in Hooks's characteristic direct style, Feminist Theory embodies the hope that feminists can find a common language to spread the word and create a mass, global feminist movement.
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How to teach with Films:
Remember, teachers want the student to be the historian. What do historians do when they watch films?
- Before they watch, ask students to research the director and producers. These are the source of the information. How will their background and experience likely bias this film?
- Also, ask students to consider the context the film was created in. The film may be about history, but it was made recently. What was going on the year the film was made that could bias the film? In particular, how do you think the gains of feminism will impact the portrayal of the female characters?
- As they watch, ask students to research the historical accuracy of the film. What do online sources say about what the film gets right or wrong?
- Afterward, ask students to describe how the female characters were portrayed and what lessons they got from the film.
- Then, ask students to evaluate this film as a learning tool. Was it helpful to better understand this topic? Did the historical inaccuracies make it unhelpful? Make it clear any informed opinion is valid.
Fair Play (2022)
Follows three families on their journey to better balance their home life style. They are fighting problems that affect millions of couples and families across the country and even the globe. IMDB |
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Bibliography
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Das, Andrew. “U.S. Women's Players and U.S. Soccer Settle Equal Pay Lawsuit.” New York Times, May 22, 2022, https://www.nytimes.com/2022/02/22/sports/soccer/us-womens-soccer-equal-pay.html.
Gajanan, Majita. “The USWNT Seeks Nearly $67 Million in Damages In Equal Pay Lawsuit Against U.S. Soccer. Here's What to Know About the Case.” Time Magazine. February 21, 2020. https://time.com/5653250/uswnt-equal-pay-lawsuit/.
Goldin, Claudia. Career and Family: Women's Century-long Journey Toward Equity (Princeton, New Jersey, Princeton University Press, 2021).
Gurcheik, Kathy.“Availability, Use of Paternity Leave Remains Rare in U.S.” SHRM: Better Workplaces Better World. August 16, 2019. https://www.shrm.org/resourcesandtools/hr-topics/behavioral-competencies/global-and-cultural-effectiveness/pages/availability-use-of-paternity-leave-remains-rare-in-us.aspx.
Hartmann, Hegewisch, Gault, Chirillo, Clark, “Five Ways to Win an Argument about the Gender Wage Gap.” The Institute for Women’s Policy Research. September 2019. https://iwpr.org/wp-content/uploads/2021/02/C447_GWG-Talking-Points_2019.pdf.
Hegewisch, Ariane and Adiam Tesfaselassie. “The Gender Wage Gap by Occupation 2018,” The Institute for Women’s Policy Research. April 2, 2019. https://iwpr.org/publications/gender-wage-gap-occupation-2018/.
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Schochet, Leila. “The Child Care Crisis Is Keeping Women Out of the Workforce.” Center for American Progress. March 28, 2019. https://www.americanprogress.org/issues/early-childhood/reports/2019/03/28/467488/child-care-crisis-keeping-women-workforce/.
Steinem, Gloria. “The Importance of Work,” Outrageous Acts and Everyday Rebellions, 3rd Edition (New York, NY: Henry Holt and Company, 2019).
Reeves, Richard V. Of Boys and Men: Why the Modern Male Is Struggling, Why It Matters, and What to Do About It. Washington, D.C.: Brookings Institution Press, 2022.
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Bowles, Nellie. “Jordan Peterson, Custodian of the Patriarchy: He says there’s a crisis in masculinity. Why won’t women — all these wives and witches — just behave?” The New York Times. May 18, 2018. https://www.nytimes.com/2018/05/18/style/jordan-peterson-12-rules-for-life.html.
Burclaff, Natalie. “Missing Women and Feminist Economics.” Library of Congress. March 22, 2021. https://blogs.loc.gov/inside_adams/2021/03/missing-women-and-feminist-economics/.
Chowdhury, Jennifer. “Woman of Impact: Reshma Saujani.” In Style. November 1, 2023. https://www.instyle.com/reshma-saujani-moms-first-woman-of-impact-8385201.
Das, Andrew. “U.S. Women's Players and U.S. Soccer Settle Equal Pay Lawsuit.” New York Times, May 22, 2022, https://www.nytimes.com/2022/02/22/sports/soccer/us-womens-soccer-equal-pay.html.
Gajanan, Majita. “The USWNT Seeks Nearly $67 Million in Damages In Equal Pay Lawsuit Against U.S. Soccer. Here's What to Know About the Case.” Time Magazine. February 21, 2020. https://time.com/5653250/uswnt-equal-pay-lawsuit/.
Goldin, Claudia. Career and Family: Women's Century-long Journey Toward Equity (Princeton, New Jersey, Princeton University Press, 2021).
Gurcheik, Kathy.“Availability, Use of Paternity Leave Remains Rare in U.S.” SHRM: Better Workplaces Better World. August 16, 2019. https://www.shrm.org/resourcesandtools/hr-topics/behavioral-competencies/global-and-cultural-effectiveness/pages/availability-use-of-paternity-leave-remains-rare-in-us.aspx.
Hartmann, Hegewisch, Gault, Chirillo, Clark, “Five Ways to Win an Argument about the Gender Wage Gap.” The Institute for Women’s Policy Research. September 2019. https://iwpr.org/wp-content/uploads/2021/02/C447_GWG-Talking-Points_2019.pdf.
Hegewisch, Ariane and Adiam Tesfaselassie. “The Gender Wage Gap by Occupation 2018,” The Institute for Women’s Policy Research. April 2, 2019. https://iwpr.org/publications/gender-wage-gap-occupation-2018/.
Livingston, Gretchen. “Stay-at-home moms and dads account for about one-in-five U.S. parents,” PEW Research Center. September 24, 2018. https://www.pewresearch.org/fact-tank/2018/09/24/stay-at-home-moms-and-dads-account-for-about-one-in-five-u-s-parents/.
Long, Brandon. “Is Jordan Peterson Right About Agreeable Women? (No).” Medium. February 14, 2019. https://medium.com/slightly-educated/is-jordan-peterson-right-about-agreeable-women-no-d30eb6f319e.
Phelen, John. “Harvard Study: ‘Gender Wage Gap’ Explained Entirely by Work Choices of Men and Women: The ‘gender wage gap” is as real as unicorns and has been killed more times than Michael Myers.” Foundation for Economic Education. December 10, 2018. https://fee.org/articles/harvard-study-gender-pay-gap-explained-entirely-by-work-choices-of-men-and-women/?gclid=CjwKCAjw26H3BRB2EiwAy32zhZKsF45zDh2P22RHSXgHrfc-hthCcA1Xh1hyUhN3A9XFwvx9XP6u6hoCXokQAvD_BwE.
Schochet, Leila. “The Child Care Crisis Is Keeping Women Out of the Workforce.” Center for American Progress. March 28, 2019. https://www.americanprogress.org/issues/early-childhood/reports/2019/03/28/467488/child-care-crisis-keeping-women-workforce/.
Steinem, Gloria. “The Importance of Work,” Outrageous Acts and Everyday Rebellions, 3rd Edition (New York, NY: Henry Holt and Company, 2019).
Reeves, Richard V. Of Boys and Men: Why the Modern Male Is Struggling, Why It Matters, and What to Do About It. Washington, D.C.: Brookings Institution Press, 2022.
Reeves, Richard V. & Isabel V. Sawhill, "Men's Lib." The New York Times. November 14, 2015. https://www.nytimes.com/2015/11/15/opinion/sunday/mens-lib.html?_r=0.
White, Gillian B. “Why Daycare Workers Are So Poor, Even Though Daycare Costs So Much: They can’t even afford child care for their own kids.” The Atlantic. November 5, 2015, https://www.theatlantic.com/business/archive/2015/11/childcare-workers-cant-afford-childcare/414496/.