This study explores whether companies’ experience benefits when the firm’s CEO and owner are both women. It employs data from the 2009-2014 World Bank Enterprise Surveys (WBES) to measure firms’ performance through growth in sales and productivity. Potential endogeneity was corrected by using the UN Gender Development Index and the average fertility rate as they comply with the exclusion restrictions. The paper uses the Control Function method with a Probit first stage estimation and an OLS main equation. The findings suggest that a female owner strengthens the female CEO’s business skills and leads to better firm performance than when the CEO is a woman and the owner is a man.
Nota bibliográficaFunding Information:
This document is derived from the first chapter of my Doctoral Thesis in Economics at the Pontificia Universidad Católica del Perú (PUCP). I am very thankful for detailed comments, suggestions, and support from Alberto Chong at Georgia State University. I am also very appreciative of comments submitted by Janina Leon, Gabriel Rodríguez, Juan Francisco Castro, Pablo Lavado, and Lucciano Villacorta.
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- Cross-country data
- Firm performance
- Statistical discrimination