Template-Type: ReDIF-Paper 1.0 Author-Name: Bernardo Fanfani Author-X-Name-First: Bernardo Author-X-Name-Last: Fanfani Author-Email: bernardo.fanfani@unicatt.it Author-Workplace-Name: Università Cattolica del Sacro Cuore Author-Workplace-Name: Dipartimento di Economia e Finanza, Università Cattolica del Sacro Cuore Title: Tastes for Discrimination in Monopsonistic Labour Markets. Abstract: This paper presents a model where wage di erences between men and women arise from taste-based discrimination and monopsonistic mechanisms. We show how preferences against women a ect heterogeneity in firms' pay policies in the context of an imperfect labour market, deriving a test for the presence of taste-based discrimination and of other firm-level mechanisms driving the gender wage gap, in particular compensating wage differentials. These results inform an analysis of sex pay di erences in the Italian manufacturing sector showing that preferences for workplaces providing more exible schedules are a significant determinant of the gender wage gap. Taste-based discrimi- nation mechanisms appear to be significant as well, but small in size. Length: 44 Creation-Date: 2020-10 File-URL: http://dipartimenti.unicatt.it/economia-finanza-def094.pdf File-Format: Application/pdf File-Function: First version, 2020 Number: def094 Classification-JEL: J00, J16, J31, J71. Keywords: Gender Wage Gap, Taste-Based Discrimination, Monopsonistic Discrimination, CompensatingWage Di erentials, FirmWage Policy, Matched Employer-Employee Data. Handle: RePEc:ctc:serie1:def094