Are Liquidity Constraints Holding Women Back? An Analysis of Gender in Self-Employment Earnings

Rybczynski, Kate

doi:10.1016/j.jeca.2009.01.010

Cited by 6 publications

(6 citation statements)

References 42 publications

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“…Nevertheless, in future research it would certainly be sensible to take financial (start-up) capital into account where possible (as has already been done in previous studies for other countries, e.g. by Hundley 2001, Walker 2009and Rybczynski 2009). Other variables that could help explaining the remaining part of the gender earnings gap might be personality traits like attitude towards risk or competitiveness (for paid employees this has been explored e.g.…”

Section: Discussionmentioning

confidence: 96%

“…While it is true that women generally start self-employment with less start-up capital than men and that financial constraints seem to contribute to the gender earnings gap to some extent (e.g. Hundley 2001, Walker 2009, Rybczynski 2009), there is no conclusive evidence whether this is due to discrimination by capital lenders (see, inter alia, Asiedu et al 2012, Orser et al 2006, Verheul and Thurik 2001, Coleman 2000, Fabowale et al 1995. Also discrimination by consumers does not seem to explain the self-employment gender earnings gap (see Aronson 1991: 72-73, Moore 1983.…”

Section: Introductionmentioning

confidence: 99%

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Why is there a gender earnings gap in self-employment? A decomposition analysis with German data

Lechmann

Schnabel

2012

IZA Journal of European Labor Studies

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Using a large data set for Germany, we show that both the raw and the unexplained gender earnings gap are higher in self-employment than in paid employment. Applying an Oaxaca-Blinder decomposition, about one quarter to one third of the difference in monthly self-employment earnings can be traced back to women working fewer hours than men whereas there are no robust segregation effects. Working time flexibility and career aspirations do not seem to contribute much to the gender earnings gap, whereas family background plays a certain role as it affects the earnings of self-employed men and women quite differently. JEL codes: J31, J71

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Section: Discussionmentioning

confidence: 96%

Section: Introductionmentioning

confidence: 99%

Why is there a gender earnings gap in self-employment? A decomposition analysis with German data

Lechmann

Schnabel

2012

IZA Journal of European Labor Studies

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“…The literature uses different approaches in order to explain this gender earnings gap. Hundley (2001), Walker (2009), and Rybczynski (2009) explain it with financial constrains of self-employed women. Other approaches are the discrimination by consumers (e.g., Aronson, 1991) or discrimination by capital lenders (e.g., Coleman, 2000;Orser et al, 2006).…”

Section: Introductionmentioning

confidence: 99%

Self-Employed Individuals, Time Use, and Earnings

Konietzko

2014

J Fam Econ Iss

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This paper analyzes the time allocation of self-employed men and women compared to men and women in paid employment and the impact of housework on earnings of self-employed individuals using data from two German datasets. Self-employed women spend more time on housework activities and self-employed men spend more time on market work than their paid counterparts. While descriptive statistics and pooled OLS earnings regressions show a negative impact of time spent on housework on earnings, fixed-effects earnings regressions show only a negative impact on monthly earnings of self-employed men. This impact disappears after controlling for potential endogeneity via instrumental variable estimators. ZUSAMMENFASSUNG: Auf Grundlage zweier deutscher Datensätze untersucht diese Studie die Zeitallokation von selbständigen Frauen und Männern im Vergleich zu abhängig beschäftigten Frauen und Männern sowie den Einfluss der Hausarbeitszeit auf die Verdienste der Selbständigen. Im Gegensatz zu abhängig Beschäftigten verwenden selbständige Frauen mehr Zeit für Hausarbeit, während selbständige Männer mehr Zeit für Marktarbeit aufwenden. Sowohl die deskriptiven Analysen als auch gepoolte OLS Einkommensregressionen zeigen einen negativen Einfluss der Hausarbeitszeit auf die Einkommen der Selbständigen auf. Im Gegensatz dazu wird in den Fixed-Effekts-Einkommensschätzungen nur beim Monatslohn selbständiger Männer ein negativer Zusammenhang gefunden. Dieser Effekt verschwindet nach einer Kontrolle auf potentielle Endogenität mittels Instrumentenvariablen.

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“…While it is true that women generally start self-employment with less start-up capital than men and that financial constraints seem to contribute to the gender earnings gap to some extent (e.g. Hundley 2001, Walker 2009, Rybczynski 2009, there is no conclusive evidence whether this is due to discrimination by capital lenders (see, inter alia, Orser et al 2006, Verheul/Thurik 2001, Coleman 2000, Fabowale et al 1995. Also discrimination by consumers does not seem to explain the self-employment gender earnings gap (see Aronson 1991: 72-73, Moore 1983).…”

Section: Introductionmentioning

confidence: 99%

What Explains the Gender Earnings Gap in Self-Employment? A Decomposition Analysis with German Data

Lechmann

Schnabel

2012

SSRN Journal

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What Explains the Gender Earnings Gap in Self-Employment?A Decomposition Analysis with German Data * Using a large data set for Germany, we show that both the raw and the unexplained gender earnings gap are higher in self-employment than in paid employment. Applying an Oaxaca-Blinder decomposition, more than a quarter of the difference in monthly self-employment earnings can be traced back to women working fewer hours than men. In contrast variables like family background, working time flexibility and career aspirations do not seem to contribute much to the gender earnings gap, suggesting that self-employed women do not earn less because they are seeking work-family balance rather than profits. Differences in human capital endowments account for another 13 percent of the gap but segregation does not contribute to the gender earnings gap in a robust way.

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Are Liquidity Constraints Holding Women Back? An Analysis of Gender in Self-Employment Earnings

Cited by 6 publications

References 42 publications

Why is there a gender earnings gap in self-employment? A decomposition analysis with German data

Why is there a gender earnings gap in self-employment? A decomposition analysis with German data

Self-Employed Individuals, Time Use, and Earnings

What Explains the Gender Earnings Gap in Self-Employment? A Decomposition Analysis with German Data

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