Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/27359 
Year of Publication: 
2008
Series/Report no.: 
DIW Discussion Papers No. 836
Publisher: 
Deutsches Institut für Wirtschaftsforschung (DIW), Berlin
Abstract: 
We provide the first joint evidence on the relationship between individuals' cognitive abilities, their personality and earnings for Germany. Using data from the German Socio-Economic Panel Study, we employ scores from an ultra-short IQ-test and a set of measures of personality traits, namely locus of control, reciprocity and all basic items from the Five Factor Personality Inventory. Our estimates suggest a positive effect of so-called fluid intelligence or speed of cognition on males' wages only. Findings for personality traits are more heterogeneous. There however is a robust wage penalty for an external locus of control for both men and women.
Subjects: 
Cognitive abilities
personality traits
Five Factor Model
Locus of control
reciprocity
wages
JEL: 
J24
J31
I21
Document Type: 
Working Paper

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