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Table 4 Oaxaca-Blinder decomposition of the self-/paid employment earnings gap

From: Can working conditions explain the return-to-entrepreneurship puzzle?Können Arbeitsbedingungen das „return-to-entrepreneurship puzzle“ erklären?

Dependent variable: logarithmic gross hourly earnings

Men (N = 6352)

Women (N = 6935)

Mean

Median

Mean

Median

Paid employees

2.7779

(0.0074)

2.777

(0.0075)

2.5568

(0.0062)

2.5886

(0.0068)

Self-employed

2.8453

(0.0271)

2.8253

(0.0309)

2.4440

(0.0383)

2.4350

(0.0477)

Difference

− 0.0674

(0.0279)

− 0.0481

(0.0317)

0.1127

(0.0387)

0.1537

(0.0478)

Explained

− 0.1613

(0.0197)

− 0.1467

(0.0164)

− 0.0873

(0.0186)

− 0.0762

(0.0187)

Unexplained

0.0939

(0.0304)

0.0986

(0.0308)

0.2001

(0.0365)

0.2299

(0.0445)

Explained by…

Flexibility

0.0004

(0.0005)

0.0006

(0.0008)

0.0018

(0.0010)

0.0021

(0.0012)

Autonomy

− 0.0035

(0.0024)

− 0.0042

(0.0026)

− 0.0056

(0.0032)

− 0.0055

(0.0037)

Variety

− 0.0067

(0.0023)

− 0.0051

(0.0025)

− 0.0120

(0.0033)

− 0.0048

(0.0036)

Strained by risk

0.0001

(0.0005)

− 0.0007

(0.0006)

0.0002

(0.0004)

0.0000

(0.0004)

Pressure and overstrain

− 0.0004

(0.0008)

− 0.0002

(0.0008)

0.0010

(0.0010)

0.0010

(0.0010)

Human capital

− 0.0968

(0.0008)

− 0.0848

(0.0149)

− 0.0554

(0.0120)

− 0.0452

(0.0124)

Tasks and physical working environment

− 0.0052

(0.0102)

− 0.0134

(0.0104)

0.0115

(0.0085)

0.0039

(0.0090)

Sociodemographic control variables

− 0.0071

(0.0044)

− 0.0071

(0.0037)

− 0.0029

(0.0049)

− 0.0017

(0.0042)

Inverse Mill’s ratio (selection into paid employment)

− 0.0421

(0.0309)

− 0.0316

(0.0226)

− 0.0259

(0.0157)

− 0.0260

(0.0181)

  1. The data set used is the BIBB/BAuA Employment Survey 2012. The reference group is paid employees. Bootstrapped standard errors in brackets. Bold indicates statistical significance at the 5 % level. “Autonomy” reflects the joint contribution of “work outcome not prescribed in detail” and “free how to perform work”. “Variety” reflects the joint contribution of “non-repetitive work”, “new tasks” and “trying new things”. “Human capital” includes professional qualification, working experience, working intermissions, tenure and 16 skill dummies