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Macroeconomic costs of gender gaps in a model with household production and entrepreneurship

Author

Listed:
  • David Cuberes

    (Clark University)

  • Marc Teignier

    (Universitat de Barcelona)

Abstract

This paper examines the quantitative effects of gender gaps in entrepreneurship and workforce participation in an occupational choice model with a household sector. Gender gaps in entrepreneurship affect negatively both income and aggregate productivity, since they reduce the entrepreneurs’ average talent and female labor force participation. We estimate the gender gaps for 37 European countries and we find that gender gaps cause an average market output loss of 11.5% when they are considered constant across talent levels. The loss in total output, which also includes household production, varies between 6.4% and 8.7%, depending on the household productivity parameter.

Suggested Citation

  • David Cuberes & Marc Teignier, 2016. "Macroeconomic costs of gender gaps in a model with household production and entrepreneurship," UB School of Economics Working Papers 2016/356, University of Barcelona School of Economics.
    • Handle: RePEc:ewp:wpaper:356web
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    File URL: http://hdl.handle.net/2445/104795
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    Cited by:

    1. Della Giusta, Marina & Clot, Sophie & Razzu, Giovanni, 2019. "The behavioural foundations of female entrepreneurship: what can experiments teach us?," MPRA Paper 91483, University Library of Munich, Germany.
    2. Ines Buono & Annalivia Polselli, 2022. "An international map of gender gaps," Questioni di Economia e Finanza (Occasional Papers) 714, Bank of Italy, Economic Research and International Relations Area.

    More about this item

    Keywords

    Gender-specific occupational choice frictions; Entrepreneurhsip talent misallocation; Total output.;
    All these keywords.

    JEL classification:

    • E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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