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Personality Traits, Intra-household Allocation and the Gender Wage Gap

Author

Listed:
  • Christopher Flinn

    (New York University)

  • Petra Todd

    () (University of Pennsylvania)

  • Weilong Zhang

    () (University of Pennsylvania)

Abstract

A model of how personality traits affect household time and resource allocation decisions and wages is developed and estimated. In the model, households choose between two modes of behavior: cooperative or noncooperative. Spouses receive wage offers and allocate time to supplying labor market hours and to producing a public good. Personality traits, measured by the so-called Big Five traits, can affect household bargaining weights and wage offers. Model parameters are estimated by Simulated Method of Moments using the Household Income and Labor Dynamics in Australia (HILDA) data. Personality traits are found to be important determinants of household bargaining weights and of wage offers and to have substantial implications for understanding the sources of gender wage disparities.

Suggested Citation

  • Christopher Flinn & Petra Todd & Weilong Zhang, 2017. "Personality Traits, Intra-household Allocation and the Gender Wage Gap," Working Papers 2017-029, Human Capital and Economic Opportunity Working Group.
  • Handle: RePEc:hka:wpaper:2017-029
    Note: ECI
    as

    Download full text from publisher

    File URL: http://humcap.uchicago.edu/RePEc/hka/wpaper/Flinn_Todd_Zhang_2017_household-allocation-gender-gap.pdf
    File Function: First version, February 15, 2017
    Download Restriction: no

    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Personality Traits, Intra-household Allocation and the Gender Wage Gap
      by maximorossi in NEP-LTV blog on 2017-06-02 17:23:14

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    Cited by:

    1. Laurens Cherchye & Sam Cosaert & Thomas Demuynck & Bram De Rock, 2017. "Group Consumption with Caring Individuals," Working Papers ECARES ECARES 2017-45, ULB -- Universite Libre de Bruxelles.
    2. Averett, Susan L. & Bansak, Cynthia & Smith, Julie K., 2018. "Behind Every High Earning Man Is a Conscientious Woman: A Study of the Impact of Spousal Personality on Wages," IZA Discussion Papers 11756, Institute for the Study of Labor (IZA).
    3. repec:eee:ehbiol:v:30:y:2018:i:c:p:24-36 is not listed on IDEAS

    More about this item

    Keywords

    gender wage differentials; personality and economics outcomes; household bargaining; Time Allocation;

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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