If she builds it, they won’t come: The gender profit gap [1]

Male-owned firms earn nearly twice as much profit as female-owned firms. This difference is driven by a variance in the quantity of garments sold, rather than prices charged or costs incurred. Using a firm census and a market research survey, Morgan Hardy and Gisella Kagy (Hardy and Kagy 2017 [2]) uncover gender segregation in demand and a gender gap in the market size to firm ratio, suggesting a demand scarcity for female-owned firms.

Editors' note: This talk is based on this PEDL project [3].

Standfirst: 
Lack of demand for goods produced by female-owned firms, and not differences in prices or input costs, causes the gender profit gap.
Interviewee: 
morgan.hardy [4]
Date Published: 
Friday, June 1, 2018
Tags: 
Firm [5]
Ghana [6]
gender [7]
garment [8]
profit [9]
Cover Image: 
Topic: 
Firms & Trade [10]
Related Content: 
Lending to female-owned small enterprises in Sri Lanka and Ghana [11]
Return to capital in small firms [12]
Unfinished development projects in Ghana: Mechanising collective choice [13]
Management and the wealth of nations [14]
Audio File: 
Audio icon The gender profit gap [15]
Display Order: 
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