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Financial Risk-Taking and the Gender Wage Gap

Per-Anders Edin and Håkan Selin

Labour Economics, 2022, vol. 75, issue C

Abstract: Could differences in risk attitudes explain parts of the gender wage gap? We present estimates on the association between labor market outcomes and financial risk-taking using individual level administrative data on individual wealth portfolios and wage rates from year 2000, when high-quality wealth data were available in Sweden. The individual’s share of risky to total financial assets is significantly and positively associated with the wage rate. However, it turns out that our risk measure explains only a small part of the observed gender difference in wages.

Keywords: Wages; human capital; financial risk (search for similar items in EconPapers)
JEL-codes: D8 J31 (search for similar items in EconPapers)
Date: 2022
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Working Paper: Financial risk-taking and the gender wage gap (2020) Downloads
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DOI: 10.1016/j.labeco.2022.102144

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