Research Repository

Explaining personality pay gaps in the UK

Nandi, Alita and Nicoletti, Cheti (2014) 'Explaining personality pay gaps in the UK.' Applied Economics, 46 (26). pp. 3131-3150. ISSN 0003-6846

Explaining_personality_pay_gaps_in.pdf - Published Version
Available under License Creative Commons Attribution.

Download (272kB) | Preview


Using the British Household Panel Survey we estimate the effect on pay of each of the Big Five personality traits for employed men living in the UK. We add to the existing literature by estimating the role of factors such as education and occupation in explaining personality pay gaps, by allowing the personality traits to affect wage differently across occupations, education levels and other workers characteristics, and by investigating personality pay gaps for high- and low-paid workers. We find that openness to experience is the most relevant personality trait in explaining wages, followed by neuroticism, agreeableness, extroversion and conscientiousness. Openness and extroversion are rewarded while agreeableness and neuroticism are penalized, but the openness pay gap is totally explained by differences in worker characteristics, particularly education and occupation.

Item Type: Article
Uncontrolled Keywords: big five, decomposition, noncognitive skills, personality traits, wage gap
Subjects: H Social Sciences > H Social Sciences (General)
H Social Sciences > HA Statistics
H Social Sciences > HB Economic Theory
Divisions: Faculty of Social Sciences
Faculty of Social Sciences > Institute for Social and Economic Research
SWORD Depositor: Elements
Depositing User: Elements
Date Deposited: 05 Jun 2014 09:18
Last Modified: 18 Aug 2022 11:07

Actions (login required)

View Item View Item