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Entrepreneurs' Gender and Financial Constraints: Evidence from International Data

  • Alexander Muravyev
  • Dorothea Schäfer
  • Oleksandr Talavera

This paper studies gender discrimination against entrepreneurs by financial institutions. Based on the Business Environment and Enterprise Performance Survey (BEEPS) that covers firms in several countries of Western Europe as well as in the transition countries of Eastern Europe, our analysis suggests that female-managed firms are less likely to obtain a bank loan compared with male-managed counterparts. In addition, there is some evidence that female entrepreneurs are charged higher interest rates when loan applications are approved. Disaggregation of the sample by country groups suggests that these results are driven by firms in the least financially developed countries of the region.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.60165.de/dp706.pdf
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Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 706.

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Length: 35 p.
Date of creation: 2007
Handle: RePEc:diw:diwwpp:dp706
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