Do gender differences in risk preferences explain gender differences in labor supply, earnings or occupational choice? Cho, In Soo
dc.contributor.department Economics 2018-02-17T17:37:19.000 2020-06-30T02:11:43Z 2020-06-30T02:11:43Z 2011-12-02
dc.description.abstract <p>This paper examines the extent to which differences in risk preferences between men and women explain why women have a lower entrepreneurship rate, earn less, and work fewer hours than men. Data from the NLSY79 confirms previous findings that women are more risk averse than men. However, while less risk averse men tend to become self-employed and more risk averse men are likely to choose paid-employment, there is no significant effect of risk preferences on women's entrepreneurship decisions. Similarly, more risk aversion is associated with higher earnings for male entrepreneurs, but it has no effect on female entrepreneurial earnings. Rising rates of risk aversion lower earnings for women, consistent with theoretical effects of risk preferences on labor earnings, but the effects are of modest magnitude. Risk preferences do not explain variation in hours of work for either men or women. These findings suggest that widely reported differences in risk preferences across genders play only a trivial role in explaining differences in labor market outcomes between men and women.</p>
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dc.identifier.articleid 1099
dc.identifier.contextkey 8642024
dc.identifier.s3bucket isulib-bepress-aws-west
dc.identifier.submissionpath econ_las_workingpapers/100
dc.source.bitstream archive/|||Fri Jan 14 18:11:37 UTC 2022
dc.subject.disciplines Economics
dc.subject.keywords risk aversion
dc.subject.keywords earnings
dc.subject.keywords labor supply
dc.subject.keywords gender gap
dc.subject.keywords self-employment
dc.subject.keywords Blinder-Oaxaca decomposition
dc.title Do gender differences in risk preferences explain gender differences in labor supply, earnings or occupational choice?
dc.type article
dc.type.genre working_paper
dspace.entity.type Publication
relation.isOrgUnitOfPublication 4c5aa914-a84a-4951-ab5f-3f60f4b65b3d
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