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Self-control, risk aversion and the gender wage gap

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  • Mustafa Kamal
  • Paul Blacklow

Abstract

We examine the effects of self-control and risk aversion on the gender wage gap in Australia. We also include the Big Five personality traits to compare the interaction between all three as well as other traditional determinants of wages. We find that both self-control and risk aversion play a significant role in explaining the Australian gender wage gap. Furthermore, their effects on the gender wage gap are still significant in the presence of the Big Five personality traits. We find risk aversion plays a role through gender differences in endowments of it, rather than gender differences in its effect on wages. In contrast, we show that gender differences in the return of self-control and personality on wages explain almost one-third of the unexplained gender wage gap in Australia.

Suggested Citation

  • Mustafa Kamal & Paul Blacklow, 2024. "Self-control, risk aversion and the gender wage gap," Applied Economics, Taylor & Francis Journals, vol. 56(53), pages 6778-6802, November.
    • Handle: RePEc:taf:applec:v:56:y:2024:i:53:p:6778-6802
    DOI: 10.1080/00036846.2023.2276085
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