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Manchester Grand Hyatt, Gaslamp AB
Association of Financial Economists
Diversity and Career Prospects Up the Corporate Ladder
Friday, Jan. 3, 2020 10:15 AM - 12:15 PM (PDT)
- Chair: Natalia Reisel, Fordham University
Diversity in Hollywood: Do Gender and Age Affect Film Directors’ Careers?
AbstractThe paper uses data on the career progression of movie directors to study whether or not there is (statistical) discrimination in the movie industry. The conceptual exercise is to compare two directors who differ in age and gender but otherwise have had an identical career path and ask whether or not they are equally likely to be hired again in the industry. From previous work we know that film directors’ success is strongly correlated with the returns on previous projects and with the quality of critical reviews. In this paper we assemble a data base of all directors who started their careers between 1995 and 2015 and we test how age and gender affect their probability of making another film. We find that age and female gender may have a negative effect on the probability of being hired for a new project.
AbstractBased on documented population gender differences in risk aversion, some argue the crisis would not have happened if Lehman Brothers had been Lehman Sisters. Such generalizations from the population ignore the role of selection. We illustrate the importance of selection by comparing finance to other industries. Using measure of preferences, we show that gender gaps in risk-aversion can reverse in finance. Consistent with the existence of selection, financial firms with more female directors are, if anything, relatively riskier than non-financials. While diversity may be valuable in a crisis, taking selection into account may be critical for identifying the reasons why.
University of British Columbia
Hong Kong Polytechnic University
University of California-San Diego
- G3 - Corporate Finance and Governance
- J7 - Labor Discrimination