Julia Bredtmann and Sebastian Otten
– The purpose of this paper is to provide empirical evidence on the gender wage differential of labor market entrants and the determinants of their starting wages.
Abstract
Purpose
The purpose of this paper is to provide empirical evidence on the gender wage differential of labor market entrants and the determinants of their starting wages.
Design/methodology/approach
The paper makes use of a unique data set on graduates in economics from a large German university that contains detailed information on the graduates’ course of study, their additional qualifications and their transition from university to the labor market. Based on these data, Mincer-type earnings functions as well as wage decompositions as proposed by Blinder (1973) and Oaxaca (1973) are performed.
Findings
The paper finds a significant gender wage differential of 7 percent. Blinder-Oaxaca decompositions suggest that the major part of this gap remains unexplained by gender differences in observable characteristics.
Research limitations/implications
The main feature of our analysis – having a highly homogeneous sample of graduates from a single university – comes at the costs of reduced ability to draw generalized conclusions from our findings.
Originality/value
This paper investigates the determinants of entry wages for a homogeneous group of high-skilled workers using a unique data set of graduates in business and economics from a large German university. Concentrating on a highly homogeneous sample limits the problem of unobserved heterogeneity, which results in an overestimation of the unexplained component of standard decompositions analyses. Hence, the finding that a large part of the gender pay gap remains unexplained can be considered as an indicator for gender discrimination in the labor market for economics graduates.
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Sebastián Villa and Jaime Andrés Castañeda
The paper aims to explore how power and gender influence decision making in an operational and risky context.
Abstract
Purpose
The paper aims to explore how power and gender influence decision making in an operational and risky context.
Design/methodology/approach
The authors run a laboratory experiment. The experimental factors are power and operational profitability. Power is manipulated using an episodic priming task, while profitability, by changing a newsvendor-type product’s procurement cost. Participants’ risk attitude is captured using a risk lottery.
Findings
Participants deviate from the optimal order regardless of the power condition and their risk profile. Risk-seeking women order consistently more than risk-seeking men, which allow women to offer a higher service level. In the low-profit condition, men prefer to make more conservative decisions, which allow them to place orders that are closer to the economical benchmark, where both men’ induced power and the risk-seeking tendencies from both genders play a role. Behavioural models in the high-power condition explain the observed differences in ordering behaviours.
Originality/value
This paper provides behavioural research to explore how differences in power and gender, and their links with risky decision making, influence decision making in an uncertain operations management context, representing thus an important departure from mainstream studies.
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Gregor Dorfleitner and Sebastian Utz
– The purpose of this paper is to analyze the main motives of investors in allocating their money in a socially responsible (SR) way.
Abstract
Purpose
The purpose of this paper is to analyze the main motives of investors in allocating their money in a socially responsible (SR) way.
Design/methodology/approach
The paper is based on primary data collected in a survey using an online questionnaire. This paper applies tests for continuous and categorical data and (ordered) logit models.
Findings
In a multivariate analysis that investigates determinants of SR investing, this study finds little influence of the demographic factors of gender and investment volume and none of educational level. Furthermore, it shows that the regions investors allocate their money to are significant along with the preference toward the order of return, risk and liquidity. Moreover, there appears to be a gap between supply and demand of SR investments. Additionally, there are indications that a very important inducement for SR investing is the expectation of a high financial performance.
Originality/value
There are very few international studies concerning the link between SR investments and the explanation of preferences with factors other than demographic ones. This study broadens the scope of the literature by providing novel empirical evidence for the German-speaking market.