Gender and Choices in Higher Education

Overview & Synopsis

Data on the labor market outcomes of university graduates show that gender pay gaps appear soon after graduation in nearly every field of study. We provide descriptive evidence of a plausible cause of the gender starting-salary gap: choices within an educational setting that differ between male and female students, even after accounting for academic specialization. We examine the choices of undergraduate students at a selective French university who are competing for seats at foreign universities to fulfill a mandatory exchange program requirement. Holding fixed students’ field of study, we find that average and high-ability female students request exchange universities that are worse-ranked than their male peers. A survey eliciting students’ preferences suggests that male students prioritize the academic characteristics of potential exchange universities more often, whereas similar female students consider both the academic and non-academic characteristics of exchange destinations. We explore the short-term consequences of these differing preferences using a simulation that assigns students to exchange seats solely on university ranking and students’ academic performance. Female students’ assignment improves almost uniformly, whereas top-performing male students face increased competition for seats and male students with average grades face less competition as high-achieving female students shift towards better-ranked assignments.