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Entrepreneurs' gender and financial constraints: evidence from international data

  • Alexander Muravyev

    ()

    (DIW - Berlin)

  • Dorothea Schaefer

    ()

    (DIW - Berlin and Free University of Berlin)

  • Oleksandr Talavera

    ()

    (Aberdeen Business School and Kyiv School of Economics)

This paper studies gender discrimination against entrepreneurs by financial institutions. Based on the cross-country Business Environment and Enterprise Performance Survey (BEEPS) our analysis suggests that, compared to male-managed counterparts, female-managed firms are less likely to obtain a bank loan. In addition, we find that female entrepreneurs are charged higher interest rates when loan applications are approved. There is also some evidence that the gender differences in access to financing vanish with the level of financial development, which is consistent with the Becker-type discrimination. The results of our analysis are robust to a number of specification checks.

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File URL: http://repec.kse.org.ua/pdf/KSE_dp11.pdf
File Function: August 2008
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Paper provided by Kyiv School of Economics in its series Discussion Papers with number 11.

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Date of creation: Aug 2008
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Handle: RePEc:kse:dpaper:11
Note: Forthcoming in Journal of Comparative Economics
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