Gender Divergence in Sectors of Work

The past half century has witnessed widespread gender convergence across many labor market outcomes, including hours worked, earnings, and occupations. However, this paper shows that, over the same period, men’s and women’s sectors of employment actually diverged. We decompose the rise in sectoral segregation into three drivers representing changes in preferences, discrimination, and technologies. Changes in the employment preferences of married women are the most important factor, explaining 59% of the rise in segregation. These changes in preferences also reduce the gender earnings gap because the non‑wage amenities women value are increasingly prevalent in higher paying sectors.