The influence of risk preferences and competitiveness of women on the wage gap

Women earn on average less for preforming the same work as men. This is called the wage gap. In this thesis, the differences in preferences in competitiveness and risk between men and women are examined in order to shed light on how they affect the wage gap. This is done by using a literature study to compare the different articles written on the subject. The literature will be split into four sections “ Literature on the wage gap”, “Literature on differences in preferences & literature on the difference in risk preferences”, “Literature on negotiation competitiveness” and “Literature on nature versus nurture”. The major conclusion is that women are more risk averse than men and this affects both their career choices and salary. At the end of the article recommendations on how to close the wage gap will be given, and a suggestion for future research will be made.