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Title: Do Job Preferences Add to the Explanation of the Gender Earnings Gap in Self-Employment? The Case of St. Croix County, Wisconsin

Citation Type: Journal Article

Publication Year: 2016

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Abstract: This study uses data collected on self-employed women and men in a singlecounty to analyze the influence of job preferences on the gender-based earnings gap. Datareduction, carried out on the pooled sample, reduces eleven job preference measuresselected for the study to five: challenge of competition, make a lot of money, job security,close to extended family, and can be innovative. A separate regression for self-employedwomen indicates make a lot of money has a positive and close to extended family anegative effect on earnings. For self-employed men, results indicate positive effects onearnings for challenge of competition and make a lot of money. Sensitivity resultsindicate, in estimates for self-employed women, the positive effect of make a lot of moneyis not robust. At the same time, the sensitivity analysis indicates a positive effect ofpreference for financial risk-taker on the earnings of self-employed women. A Oaxacadecomposition using pooled, female, and male coefficients indicates the strongerpreference of self-employed men in the sample towards make a lot of money explains atleast 6.37 percent of the earnings gap.

Url: https://journalofeconomicinsight.com/index.php/joei/article/view/37

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Authors: Walker, John R.; Schultz, Brian L.

Periodical (Full): Journal of Economic Insight

Issue: 1

Volume: 42

Pages: 1-40

Data Collections: IPUMS CPS

Topics: Labor Force and Occupational Structure, Other

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