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Hispanic Self-Employment: Does Gender Matter?

Mary Jo Katras

University of Minnesota

Catherine P. Montalto

The Ohio State University

Patricia D. Olson

University of Minnesota

With the increase in female self-employment, there is a need to examine the intersection between race/ethnicity and gender. This study examined whether gender differences in income exist for self-employed Hispanics residing in California using data from the 1990 U.S. decennial census. Theories stressing human capital, social capital, and acculturation were combined and income equations were estimated separately for Hispanic self-employed men and Hispanic self-employed women. The sample consisted of 7,760 Hispanic self-employed persons (64% self-employed men versus 36% self-employed women). Multiple regression analysis suggests income differences in self-employment do exist by gender. For example, having less than a high school education relative to being a high school graduate decreased self-employment income for both men and women, but the effect was larger for men. Furthermore, decomposition analysis suggests income differences between genders are due both to differences in worker characteristics and rates of return to these characteristics.

Key Words: Hispanic • self-employment • gender • human capital • social capital • acculturation

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