Carpenter, CSKirkpatrick, LLee, MJPlum, Alexander2025-01-292025-01-291/02/2025Economics Letters, ISSN: 0165-1765 (Print), Elsevier BV, 247, 112155-112155. doi: 10.1016/j.econlet.2024.1121550165-1765http://hdl.handle.net/10292/18518We provide new evidence on the economic outcomes of transgender and gender diverse people in New Zealand (NZ) using confidential linked administrative data from driver license records – which identify gender diverse people since 2021 – linked to NZ birth and tax records. We document that gender diverse people are younger than both transgender and cisgender people but are more highly educated than transgender people. Relative to otherwise similar cisgender men, we find large employment and earnings penalties for transgender and gender diverse people. Earnings gaps for gender diverse individuals are especially large.© 2024 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).http://creativecommons.org/licenses/by-nc-nd/4.0/38 EconomicsSexual and Gender Minorities (SGM/LGBT*)5 Gender Equality14 EconomicsEconomics38 EconomicsJournal ArticleOpenAccess10.1016/j.econlet.2024.112155