Gender Differences in Entrepreneurial Propensity
View PDF Version
Using data from representative population surveys in 17 countries, we find that the lower rate of female business ownership is primarily due to women's lower propensity to start businesses rather than to differences in survival rates across genders. We show that women are less confident in their entrepreneurial skills, have different social networks and exhibit higher fear of failure than men. After controlling for endogeneity, we find that these variables explain a substantial part of the gender gap in entrepreneurial activity. Although, of course, their relative importance varies significantly across countries, these factors appear to have a universal effect.
- L26 : Entrepreneurship
- J24 : Human Capital; Skills; Occupational Choice; Labor Productivity
- J16 : Economics of Gender; Non-labor Discrimination
- gender differences
- gender gap