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The gender gap in over-indebtedness

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  • Meyll, Tobias
  • Pauls, Thomas

Abstract

We document a significant gender gap in over-indebtedness, as we find women to be less likely to become over-indebted even after controlling for risk attitude, financial literacy and socio-demographic characteristics. However, once we account for loan purposes the gender gap diminishes. Our findings highlight the importance to account for loan purposes when analyzing individuals’ debt behavior.

Suggested Citation

  • Meyll, Tobias & Pauls, Thomas, 2019. "The gender gap in over-indebtedness," Finance Research Letters, Elsevier, vol. 31(C).
    • Handle: RePEc:eee:finlet:v:31:y:2019:i:c:s154461231830669x
    DOI: 10.1016/j.frl.2018.12.007
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    6. Weng, Hsu-Chi & Hermansson, Cecilia, 2024. "Behavioral intention, personality and consumer credit use," Working Paper Series 24/8, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance.
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    More about this item

    Keywords

    Gender; Over-indebtedness; Loan purpose; Financial literacy; Gender gap; Consumer debt;
    All these keywords.

    JEL classification:

    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth

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