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The Role of Psychological Traits for the Gender Gap in Full-Time Employment and Wages: Evidence from Germany

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  • Nils Braakmann

Abstract

This paper shows that differences in various non-cognitive traits, specifically the "big five", positive and negative reciprocity, locus of control and risk aversion, contribute to gender inequalities in wages and employment. Using the 2004 and 2005 waves of the German Socio-Economic Panel, evidence from regression and decomposition techniques suggests that gender differences in psychological traits are more important for inequalities in wages than in employment. Differences in the "big five", in particular in agreeableness, conscientiousness and neurocitism matter for both wages and employment. For the latter, the results also show a large effect of differencesin external locus of control.

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Bibliographic Info

Paper provided by DIW Berlin, The German Socio-Economic Panel (SOEP) in its series SOEPpapers on Multidisciplinary Panel Data Research with number 162.

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Length: 27 p.
Date of creation: 2009
Date of revision:
Handle: RePEc:diw:diwsop:diw_sp162

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Keywords: Gender wage gap; non-cognitive traits; decomposition;

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References

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  1. Guido Heineck & Silke Anger, 2008. "The Returns to Cognitive Abilities and Personality Traits in Germany," Discussion Papers of DIW Berlin 836, DIW Berlin, German Institute for Economic Research.
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Citations

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Cited by:
  1. Cobb-Clark, Deborah A. & Tan, Michelle, 2011. "Noncognitive skills, occupational attainment, and relative wages," Labour Economics, Elsevier, Elsevier, vol. 18(1), pages 1-13, January.
  2. Trzcinski, Eileen & Holst, Elke, 2011. "A Critique and Reframing of Personality in Labour Market Theory: Locus of Control and Labour Market Outcomes," IZA Discussion Papers 6090, Institute for the Study of Labor (IZA).
  3. Nils Braakmann, 2013. "What Determines Wage Inequality Among Young German University Graduates?," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 233(2), pages 130-158, March.
  4. Viinikainen, Jutta & Kokko, Katja, 2012. "Personality traits and unemployment: Evidence from longitudinal data," Journal of Economic Psychology, Elsevier, Elsevier, vol. 33(6), pages 1204-1222.
  5. Judith Offerhaus, 2013. "The Type to Train?: Impacts of Personality Characteristics on Further Training Participation," SOEPpapers on Multidisciplinary Panel Data Research 531, DIW Berlin, The German Socio-Economic Panel (SOEP).
  6. Krause, Annabelle, 2012. "Don't Worry, Be Happy? Happiness and Reemployment," IZA Discussion Papers 7107, Institute for the Study of Labor (IZA).
  7. Cédric Gorinas, 2014. "Ethnic identity, majority norms, and the native–immigrant employment gap," Journal of Population Economics, Springer, Springer, vol. 27(1), pages 225-250, January.

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