Between Wage And Appearance The Link Between Wage And Appearance In a recent book, journalist Malcolm Gladwell found that the average CEO is approximately 3 inches taller than the average American man, who stands 5-foot-9. Further, 30 percent of the CEOs are at least 6-foot-2; the corresponding percentage for American adult men overall is only 3.9 percent. To what can these observations be attributed? Do taller people make better CEO candidates? In general, workers expect their employment outcomes, especially wages and promotions, to depend on factors related to productivity, such as education, tenure and experience. However, this type of anecdotal evidence about the heights of CEOs suggests that employment outcomes are influenced by more than just productivity. In this article, we examine a few aspects of appearance a characteristic that one might not believe would directly affect wages. We first consider some studies that provide evidence of an appearance-wage bias and then discuss some possible explanations for it.
Beauty A study by economists Daniel Hamermesh and Jeff Biddle uses survey data to examine the impact that appearance has on a person’s earnings. In each survey, the interviewer who asked the questions also rated the respondents’ physical appearance. Respondents were classified into one of the following groups: below average, average and above average.
Hamermesh and Biddle found that the “plainness penalty” is 9 percent and that the “beauty premium” is 5 percent after controlling for other variables, such as education and experience. In other words, a person with below-average looks tended to earn 9 percent less per hour, and an above-average person tended to earn 5 percent more per hour than an average-looking person. For the median male in 1996 working full-time, the respective penalty and premium amounted to approximately $2,600 and $1,400 annually. The corresponding penalty and premium for the median female worker are $2,000 and $1,100.1
Weight Economists Susan Averett and Sanders Korenman studied the effects of obesity on wages, using a sample consisting of individuals aged 16-24 in 1981 who were 23-31 in 1988. They showed that women who were obese according to their Body Mass Index (BMI) in both 1981 and 1988 earned 17 percent lower wages on average than women within their recommended BMI range. However, women who became obese between those two survey years earned only slightly less than women of recommended BMI. When comparing by race, the authors found a wage penalty for obesity among white women but no significant penalty for black women. Among white men, they found a much lower wage penalty for obesity than for their white female counterparts. A small positive relationship was actually found between obese black men and wages.
Height Economists Nicola Persico, Andrew Postlewaite and Dan Silverman tried to explain the origin of the “height premium.” They focused on white men to avoid possible discrimination based on gender or race. After controlling for a number of family characteristics that are generally correlated with both height and wages (parents’ education, parents’ occupation and number of siblings), they found that for white men in the United States, a 1.8-percent increase in wages accompanies every additional inch of height.4 Men’s wages as adults can be linked to their height at age 16. For a given adult height, Persico, Postlewaite and Silverman found that increasing height at age 16 by one inch increased adult wages by 2.6 percent, on average. This equates to a nominal increase of approximately $850 in 1996 annual earnings. In other words, for two adult men of the same height, the one who was taller at 16 would most likely earn the higher wage.
Discussion While appearance might seem unrelated to job performance, some explanations behind these wage differentials are based on unmeasured productivity. Certain characteristics, such as appearance, might affect productivity in ways that are not as easily measured (or as obvious) as are other characteristics, like education or experience. Appearance, for example, can affect confidence and communication, thereby influencing productivity. A study by economists Markus Mobius and Tanya Rosenblat estimates that confidence accounts for approximately 20 percent of the beauty premium. Further, employers might believe that customers or co-workers want to interact with more-attractive people. As these results suggest, disentangling the effects of productivity differences and discrimination can be problematic. Though discrimination is a possible explanation, anti-discrimination laws might not guarantee that these wage differentials would evaporate. Unmeasurable productivity might still result in pay disparities, and CEOs might still be tall.
Question
1.Have you ever been treated unfairly because of appearance?
2.Where can you see these lookisms?
3. What caused lookism and what effect does it have?
4.What movement can you see that are against lookism? Will lookism become weaker or worse?