This paper investigates how the peer gender composition in university affects students' major choices and labor market outcomes. Women who are randomly assigned to more female peers become less likely to choose male-dominated majors, they end up in jobs where they work fewer hours and their wage grows at a slower rate. Men become more likely to choose male-dominated majors after having had more female peers, although their labor market outcomes are not affected. Our results suggest that the

more »

... easing female university enrolment over recent decades has paradoxically contributed to the occupational segregation among university graduates that persists in today's labor market. seminar participants at Bocconi, Copenhagen Business School, IZA, Oxford University and the University of Zurich for helpful discussions and comments. We further like to thank the SBE Scheduling Department, the SBE Exams Office, and the Educational Research and Development Department for providing data and valuable background information over recent years. We have not received financial support for this project. We thank Sophia Wagner for providing outstanding research assistance.