IDEAS home Printed from https://ideas.repec.org/a/eee/beexfi/v14y2017icp5-13.html
   My bibliography  Save this article

Gender premium and economic downswings

Author

Listed:
  • Shehu, Elona
  • Shahzad, Khurram
  • Rubbaniy, Ghulame
  • Perveen, Abida

Abstract

Using data of 2140 US firms over the period of 1998–2012, we investigate if gender–compensation relationship exists in executives’ compensation and bonus plans of the US firms; and whether this compensation difference is more visible during economic downswings. We find that not only the gender premium exists for male CEOs in executives’ compensation plans of the US companies but also the male executive bonuses are more sensitive to market downturns compared to their female counterparts. On average, female executives get a gender disadvantage in the form of lower total compensation and bonuses compared to their male counterparts, which persists even during adverse economic conditions. Finally, contrary to our initial expectations, we find male and female CEOs are equally likely to be laid-off, even during market recessions, despite female CEOs being claimed better manager by the mainstream literature.

Suggested Citation

  • Shehu, Elona & Shahzad, Khurram & Rubbaniy, Ghulame & Perveen, Abida, 2017. "Gender premium and economic downswings," Journal of Behavioral and Experimental Finance, Elsevier, vol. 14(C), pages 5-13.
    • Handle: RePEc:eee:beexfi:v:14:y:2017:i:c:p:5-13
    DOI: 10.1016/j.jbef.2017.03.001
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2214635017300151
    Download Restriction: no
    File URL: https://libkey.io/10.1016/j.jbef.2017.03.001?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rama K. Malladi & Joshua D. Mean, 2021. "Is it a gender representation issue or a gender pay gap issue? A study of the replaced executives in the USA," Business Economics, Palgrave Macmillan;National Association for Business Economics, vol. 56(2), pages 67-80, April.
    2. Agha, Mahmoud & Pramathevan, Shivani, 2023. "Executive gender, age, and corporate financial decisions and performance: The role of overconfidence," Journal of Behavioral and Experimental Finance, Elsevier, vol. 38(C).

    More about this item

    Keywords

    Corporate governance; CEO compensation; Firm performance; Global financial crisis; Gender; Gender premium;
    All these keywords.

    JEL classification:

    • F3 - International Economics - - International Finance
    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:beexfi:v:14:y:2017:i:c:p:5-13. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-behavioral-and-experimental-finance .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.