Allocation and Productivity of Time in New Ventures of Female and Male Entrepreneurs

Ingrid Verheul (), Martin Carree and Roy Thurik

ERIM Report Series Research in Management from Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam

Abstract: This paper investigates time allocation decisions in new ventures of female and male entrepreneurs using a model that distinguishes between effects of preferences and productivity on the number of working hours. Using data of 1,158 entrepreneurs we find that the preference for work time in new ventures relates to start-up motivation, propensity to take risk and availability of other income. Productivity of work time relates to human, financial and social capital endowments and the prevalence of outsourcing activities. This study also evaluates actual profit effects one year after start-up. We find that on average women invest less time in the business than men. This can be attributed to both a lower preference for work time (driven by risk aversion and availability of other income) and a lower productivity per hour worked (due to lower endowments of human, social and financial capital).

Keywords: gender; new ventures; preferences; productivity; time allocation (search for similar items in EconPapers)
JEL-codes: L23 M M13 O32 (search for similar items in EconPapers)
Date: 2007-02-05
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: Allocation and productivity of time in new ventures of female and male entrepreneurs (2009)
Working Paper: Allocation and Productivity of Time in New Ventures of Female and Male Entrepreneurs (2005)
Working Paper: Allocation and productivity of time in new ventures of female and male entrepreneurs (2004)
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