1,130
Views
43
CrossRef citations to date
0
Altmetric
Original Articles

Gender differences in entrepreneurial choice and risk aversion – a decomposition based on a microeconometric model

Pages 1795-1812 | Published online: 28 Mar 2011

References

  • Audretsch , DB and Mahmood , T . 1995 . New firm survival: new results using a hazard function . Review of Economics and Statistics , 77 : 97 – 103 .
  • Bauer , TK and Sinning , M . 2008 . An extension of the Blinder–Oaxaca decomposition to nonlinear models . AStA Advances in Statistical Analysis , 92 : 197 – 206 .
  • Blanchflower , DG . 2000 . Self-employment in OECD countries . Labour Economics , 7 : 471 – 505 .
  • Blinder , AS . 1973 . Wage discrimination: reduced form and structural variables . Journal of Human Resources , 8 : 436 – 55 .
  • Borghans, L., Golsteyn, B. H. H., Heckman, J. J. and Meijers, H. (2009) Gender differences in risk aversion and ambiguity aversion, IZA Discussion Paper No. 3985, Institute for the Study of Labor.
  • Borjas , GJ and Bronars , SG . 1989 . Consumer discrimination and self-employment . Journal of Political Economy , 97 : 581 – 605 .
  • Brown , S , Farrel , L and Sessions , JG . 2006 . Self-employment matching – an analysis of dual earner couples and working households . Small Business Economics , 26 : 155 – 72 .
  • Bruce , D . 2002 . Taxes and entrepreneurial endurance: evidence from the self-employed . National Tax Journal , 55 : 5 – 24 .
  • Budig , MJ . 2006 . Gender, self-employment, and earnings: the interlocking structures of family and professional status . Gender and Society , 20 : 725 – 53 .
  • Cain , GG . 1986 . “ The economic analysis of labor market discrimination: a survey ” . In Handbook of Labor Economics , Edited by: Ashenfelter , O and Layard , R . Vol. 1 , 693 – 785 . Amsterdam : Elsevier Science Publishers .
  • Caliendo , M , Fossen , FM and Kritikos , AS . 2009 . Risk attitudes of nascent entrepreneurs: new evidence from an experimentally validated survey . Small Business Economics , 32 : 153 – 67 .
  • Caliendo, M., Fossen, F. M. and Kritikos, A. S. (2010) The impact of risk attitudes on entrepreneurial survival, Journal of Economic Behavior and Organization, 76, 45–63.
  • Cramer , JS , Hartog , J , Jonker , N and Van Praag , CM . 2002 . Low risk aversion encourages the choice for entrepreneurship: an empirical test of a truism . Journal of Economic Behavior and Organization , 48 : 29 – 36 .
  • Cullen , JB and Gordon , RH . 2007 . Taxes and entrepreneurial risk-taking: theory and evidence for the US . Journal of Public Economics , 91 : 1479 – 505 .
  • Disney , R and Gathergood , J . 2009 . Housing wealth, liquidity constraints and self-employment . Labour Economics , 16 : 79 – 88 .
  • Dohmen, T., Falk, A., Huffman, D., Sunde, U., Schupp, J. and Wagner, G. G. (2005) Individual risk attitudes: new evidence from a large, representative, experimentally-validated survey, IZA Discussion Paper No. 1730, Institute for the Study of Labor, forthcoming in the Journal of the European Economic Association.
  • Dolton , PJ and Makepeace , GH . 1990 . Self-employment among graduates . Bulletin of Economic Research , 42 : 35 – 53 .
  • Evans , DS and Leighton , LS . 1989 . Some empirical aspects of entrepreneurship . American Economic Review , 79 : 519 – 35 .
  • Fairlie , RW . 1999 . The absence of the African–American owned business: an analysis of the dynamics of self-employment . Journal of Labor Economics , 17 : 80 – 108 .
  • Fairlie , RW . 2007 . Why are black–owned businesses less successful than white-owned businesses? The role of families, inheritances, and business human capital . Journal of Labor Economics , 25 : 289 – 323 .
  • Falck , O . 2007 . Survival chances of new businesses: do regional conditions matter? . Applied Economics , 39 : 2039 – 48 .
  • Fossen, F. M. (2009a) Gender differences in entrepreneurial choice and risk aversion – a decomposition based on a microeconometric model, DIW Discussion Paper No. 936, German Institute for Economic Research. Available at http://www.diw.de/documents/publikationen/73/diw_0I.c.342272.de/dp936.pdf (accessed 20 January 2011).
  • Fossen , FM . 2009b . Would a flat-rate tax stimulate entrepreneurship in Germany? A behavioural microsimulation analysis allowing for risk . Fiscal Studies , 30 : 179 – 218 .
  • Fossen , FM and Steiner , V . 2009 . Income taxes and entrepreneurial choice: empirical evidence from Germany . Empirical Economics , 36 : 487 – 513 .
  • Fraser , S and Greene , FJ . 2006 . The effects of experience on entrepreneurial optimism and uncertainty . Economica , 73 : 169 – 92 .
  • Georgellis , Y and Wall , HJ . 2005 . Gender differences in self-employment . International Review of Applied Economics , 19 : 321 – 42 .
  • Haapanen , M and Tervo , H . 2009 . Self-employment duration in urban and rural locations . Applied Economics , 41 : 2449 – 61 .
  • Hamilton , BH . 2000 . Does entrepreneurship pay? An empirical analysis of the returns to self-employment . Journal of Political Economy , 108 : 604 – 31 .
  • Hammarstedt , M . 2006 . The predicted earnings differential and immigrant self-employment in Sweden . Applied Economics , 38 : 619 – 30 .
  • Heaton , J and Lucas , D . 2000 . Portfolio choice and asset prices: the importance of entrepreneurial risk . Journal of Finance , 55 : 1163 – 98 .
  • Holt , CA and Laury , SK . 2002 . Risk aversion and incentive effects . American Economic Review , 92 : 1644 – 55 .
  • Holtz-Eakin , D and Rosen , HS . 2005 . Cash constraints and business start-ups: deutschmarks versus dollars . Contributions to Economic Analysis and Policy , 4 : 1 – 26 .
  • Hurst , E and Lusardi , A . 2004 . Liquidity constraints, household wealth, and entrepreneurship . Journal of Political Economy , 112 : 319 – 47 .
  • Jones , FL . 1983 . On decomposing the wage gap: a critical comment on Blinder's method . Journal of Human Resources , 18 : 126 – 30 .
  • Kanbur , RSM . 1982 . Entrepreneurial risk taking, inequality, and public policy: an application of inequality decomposition analysis to the general equilibrium of progressive taxation . Journal of Political Economy , 90 : 1 – 21 .
  • Kihlstrom , RE and Laffont , J-J . 1979 . A general equilibrium entrepreneurial theory of firm formation based on risk aversion . Journal of Political Economy , 87 : 719 – 48 .
  • Knight , FH . 1921 . Risk, Uncertainty and Profit , Boston, MA : Houghton Mifflin Company .
  • Kunze , A . 2005 . The evolution of the gender wage gap . Labour Economics , 12 : 73 – 97 .
  • McFadden , DL . 1974 . “ Conditional logit analysis of qualitative choice behavior ” . In Frontiers in Econometrics , Edited by: Zarembka , P . 105 – 42 . New York, NY : Academic Press .
  • Oaxaca , RL . 1973 . Male–female wage differentials in urban labor markets . International Economic Review , 14 : 693 – 709 .
  • Oaxaca , RL and Ransom , MR . 1994 . On discrimination and the decomposition of wage differentials . Journal of Econometrics , 61 : 5 – 21 .
  • Parker , SC . 2008 . Entrepreneurship among married couples in the United States – a simultaneous probit approach . Labour Economics , 15 : 459 – 81 .
  • Pfeiffer , F and Pohlmeier , W . 1992 . Income, uncertainty and the probability of self-employment . Recherches Economiques des Louvain , 58 : 265 – 81 .
  • Pratt , JW . 1964 . Risk aversion in the small and in the large . Econometrica , 32 : 122 – 36 .
  • Rees , H and Shah , A . 1986 . An empirical analysis of self-employment in the UK . Journal of Applied Econometrics , 1 : 95 – 108 .
  • Schuetze , HJ . 2000 . Taxes, economic conditions and recent trends in male self-employment: a Canada–US comparison . Labour Economics , 7 : 507 – 44 .
  • Taylor , MP . 1996 . Earnings, independence or unemployment: why become self-employed? . Oxford Bulletin of Economics and Statistics , 52 : 253 – 65 .
  • Taylor , MP . 1999 . Survival of the fittest? An analysis of self-employment duration in Britain . Economic Journal , 109 : C140 – 55 .
  • Wagner , J . 2007 . What a difference a Y makes – female and male nascent entrepreneurs in Germany . Small Business Economics , 28 : 1 – 21 .
  • Wagner , GG , Frick , JR and Schupp , J . 2007 . The German Socio-Economic Panel study (SOEP): scope, evolution and enhancements . Journal of Applied Social Science Studies , 127 : 139 – 70 .

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.