Stone Center for Inequality Dynamics Speaker Series: The Shift to Stock-Based Compensation and Gender Inequality in Wealth in the United States
Angelina Grigoryeva, Assistant Professor of Sociology at the University of Toronto
When:
Wednesday, September 11, 2024
1:30-2:30
Where:
CID Studio (ISR 2030) and Zoom
Please register to attend
“The Shift to Stock-Based Compensation and Gender Inequality in Wealth in the United States”
“This study identifies a novel explanation for gender inequality in wealth in the United States; namely, the important role of stock-based compensation. In the course of the financialization of the U.S. economy, American firms increasingly provided workers with compensation based in part on company stock, and 23 percent of private-sector employees now receive stock-based compensation,” Angelina explained. “Compared to regular cash wages, stock-based compensation may facilitate greater wealth accumulation due to higher rates of value appreciation over time, additional capital income through dividend payments, and more favorable treatment by the U.S. tax system. Consistent with this argument, analysis of the Survey of Consumer Finances data finds that employees with stock-based compensation accumulate more wealth than those without it. However, its wealth benefits are higher among men than women. Analysis of the NBER survey of employees with stock-based compensation shows that men are more likely to utilize its wealth-building potential than women, thus contributing to gender inequality in wealth.”
Following Angelina’s presentation, we will be holding our annual Open House where you can come and see what we’ve been building, meet the team, and learn more about the research we are doing. Refreshments will be served and you will have a chance to win some new CID swag.