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Reconciling gender differences in the returns to education in self-employment: Does occupation matter?

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  • Roche, Kristen

Abstract

Compared to self-employed men, self-employed women have more education but considerably lower earnings, generating differences in the returns to education by gender. This paper finds evidence that men typically benefit from a complementary relationship between education and earnings. However, women are heterogenous in their returns to education. Women who self-employ in traditionally female occupations do not benefit from this complementary relationship, and women who self-employ in traditionally male occupations earn returns that are more similar to the male experience.

Suggested Citation

  • Roche, Kristen, 2013. "Reconciling gender differences in the returns to education in self-employment: Does occupation matter?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 44(C), pages 112-119.
  • Handle: RePEc:eee:soceco:v:44:y:2013:i:c:p:112-119
    DOI: 10.1016/j.socec.2013.02.022
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    References listed on IDEAS

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    1. Linda N. Edwards & Elizabeth Field-Hendrey, 2002. "Home-Based Work and Women's Labor Force Decisions," Journal of Labor Economics, University of Chicago Press, vol. 20(1), pages 170-200, January.
    2. Boden, Richard Jr., 1996. "Gender and self-employment selection: An empirical assessment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 25(6), pages 671-682.
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    5. Blanchflower, David G & Oswald, Andrew J, 1998. "What Makes an Entrepreneur?," Journal of Labor Economics, University of Chicago Press, vol. 16(1), pages 26-60, January.
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    7. Moshe Buchinsky, 1998. "Recent Advances in Quantile Regression Models: A Practical Guideline for Empirical Research," Journal of Human Resources, University of Wisconsin Press, vol. 33(1), pages 88-126.
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    9. Gordon H. Cleveland & Douglas E. Hyatt, 2002. "Child care workers' wages: New evidence on returns to education, experience, job tenure and auspice," Journal of Population Economics, Springer;European Society for Population Economics, vol. 15(3), pages 575-597.
    10. Rachel Connelly, 1992. "Self-employment and providing child care," Demography, Springer;Population Association of America (PAA), vol. 29(1), pages 17-29, February.
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    12. Rees, Hedley & Shah, Anup, 1986. "An Empirical Analysis of Self-employment in the U.K," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 1(1), pages 95-108, January.
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    Cited by:

    1. Keith A. Bender & Kristen Roche, 2016. "Self-employment and the paradox of the contented female worker," Small Business Economics, Springer, vol. 47(2), pages 421-435, August.
    2. Jessica K. Simon & Megan McDonald Way, 2016. "Why the Gap? Determinants of Self-Employment Earnings Differentials for Male and Female Millennials in the US," Journal of Family and Economic Issues, Springer, vol. 37(2), pages 297-312, June.
    3. Estrin, Saul & Stephan, Ute & Vujić, Sunčica, 2014. "Do women earn less even as social entrepreneurs?," LSE Research Online Documents on Economics 60606, London School of Economics and Political Science, LSE Library.

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    Keywords

    Self-employment; Women; Gender; Education; Occupation;

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