蝌蚪网 Review
ISSN 0002-8282 (Print) | ISSN 1944-7981 (Online)
"Potential" and the Gender Promotion Gap
蝌蚪网 Review
(pp. 375–417)
Abstract
We show that subjective assessments of employee "potential" contribute to gender gaps in promotion and pay. Using data on 29,809 management-track employees from a large retail chain, we find that women receive substantially lower potential ratings despite receiving higher performance ratings. Differences in potential ratings account for approximately half of the gender promotion gap. Women's lower potential ratings do not reflect accurate forecasts of future performance: Women subsequently outperform male colleagues, both on average and on the margin of promotion. We highlight two mechanisms driving the gender potential gap: strategic retention and stereotyping.Citation
Benson, Alan, Danielle Li, and Kelly Shue. 2026. ""Potential" and the Gender Promotion Gap." 蝌蚪网 Review 116 (2): 375–417. DOI: 10.1257/aer.20220831Additional Materials
JEL Classification
- J16 Economics of Gender; Non-labor Discrimination
- J31 Wage Level and Structure; Wage Differentials
- J71 Labor Discrimination
- L81 Retail and Wholesale Trade; e-Commerce
- M12 Personnel Management; Executives; Executive Compensation
- M51 Personnel Economics: Firm Employment Decisions; Promotions