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Can Gender Differences in Distributional Preferences Explain Gender Gaps in Competition?

Author

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  • Mani, Subha

    (Fordham University)

  • Dasgupta, Utteeyo

    (Fordham University)

  • Sharma, Smriti

    (Newcastle University)

  • Singhal, Saurabh

    (Lancaster University)

Abstract

We design an experiment to examine whether egalitarian preferences, and in particular, behindness aversion as well as preference for favorable inequality affect competitive choices differently among males and females. We find that selection into competitive environments is: (a) negatively related to egalitarian preferences, with smaller negative impacts of being egalitarian on females' choice of the tournament wage scheme, and (b) negatively associated with behindness aversion and positively related to preference for favorable inequality, with significant gender differences in the impact of these distributional preferences. Once we allow for the impact of distributional preferences, behavioral, personality, and socioeconomic characteristics to vary by gender, the pure gender effect is explained away. We find that gender gaps in distributional preferences along with selected personality traits are the most relevant explanations for gender differences in willingness to compete. This is an important result as these characteristics are per se malleable and amenable to policy interventions.

Suggested Citation

  • Mani, Subha & Dasgupta, Utteeyo & Sharma, Smriti & Singhal, Saurabh, 2017. "Can Gender Differences in Distributional Preferences Explain Gender Gaps in Competition?," IZA Discussion Papers 10627, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp10627
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    Cited by:

    1. Holden, Stein T. & Tilahun, Mesfin, 2020. "Endowment Effects and Loss Aversion in the Risky Investment Game," CLTS Working Papers 1/20, Norwegian University of Life Sciences, Centre for Land Tenure Studies.
    2. Buser, Thomas & Ranehill, Eva & van Veldhuizen, Roel, 2021. "Gender differences in willingness to compete: The role of public observability," Journal of Economic Psychology, Elsevier, vol. 83(C).
    3. Duk Gyoo Kim & Max Riegel, 2022. "Rank versus Inequality—Does Gender Composition Matter?," CESifo Working Paper Series 10109, CESifo.
    4. Holden, Stein T. & Tilahun, Mesfin, 2022. "Can the risky investment game predict real world investments?," CLTS Working Papers 5/22, Norwegian University of Life Sciences, Centre for Land Tenure Studies.
    5. Carlsson, Fredrik & Lampi, Elina & Martinsson, Peter & Yang, Xiaojun, 2020. "Replication: Do women shy away from competition? Experimental evidence from China," Journal of Economic Psychology, Elsevier, vol. 81(C).
    6. Holden, Stein T. & Tilahun, Mesfin, 2021. "How Large is the Endowment Effect in the Risky Investment Game?," CLTS Working Papers 4/21, Norwegian University of Life Sciences, Centre for Land Tenure Studies.
    7. Corduas, Marcella, 2022. "Gender differences in the perception of inflation," Journal of Economic Psychology, Elsevier, vol. 90(C).
    8. Stein T. Holden & Mesfin Tilahun, 2022. "Endowment effects in the risky investment game?," Theory and Decision, Springer, vol. 92(1), pages 259-274, February.
    9. Brandts, Jordi & Rott, Christina, 2021. "Advice from women and men and selection into competition," Journal of Economic Psychology, Elsevier, vol. 82(C).
    10. Ren, Yufei & Xiu, Lin & B. Hietapelto, Amy, 2022. "Dare to ask in front of others? Women initiating salary negotiations," Journal of Economic Psychology, Elsevier, vol. 92(C).

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    More about this item

    Keywords

    gender differences; distributional preferences; competitiveness;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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