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Socially Responsible Investment and Gender Equality in the United States Census

Author

Listed:
  • Minsu Ko
  • Cynthia Yin

Abstract

With administrative data, we test whether institutional ownership with a social preference is related to employee-level gender equality. We show that the gender pay gap, which is an unexplained part of the lower wages of female employees, does not have a significant relation with socially responsible investments. Next, we show that female directorship strengthens the relation between socially responsible investments and the gender pay gap. When there are female directors, socially responsible investments have a robust correlation with a lower gender pay gap. This is because female directorship alleviates information asymmetry in gender equality.

Suggested Citation

  • Minsu Ko & Cynthia Yin, 2024. "Socially Responsible Investment and Gender Equality in the United States Census," Working Papers 24-44, Center for Economic Studies, U.S. Census Bureau.
    • Handle: RePEc:cen:wpaper:24-44
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    File URL: https://www2.census.gov/library/working-papers/2024/adrm/ces/CES-WP-24-44.pdf
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    More about this item

    Keywords

    gender; socially responsible investment; board of directors;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • F29 - International Economics - - International Factor Movements and International Business - - - Other

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