When The Context Backfires: Experimental Evidence On Reciprocity

In a randomized field experiment in Ecuador, we tested whether triggering the norm of reciprocity increases participation in a business training program. The sample included 793 microentrepreneurs in the provinces of Pichincha and Guayas in Ecuador who were randomly assigned to either receive or not receive a premium chocolate with their invitation to participate. Bank officers personally delivered the invitations/chocolate gift. Surprisingly, we find a negative and significant effect of 8.3 percentage points of the chocolate gift on participation rates. We argue that an unexpected, temporary change in the context triggered a negative response from the entrepreneurs to the gift, which changed the direction of the expected result; thus, the intervention induced negative rather than positive reciprocity

Gender (in)equality within the household and business start-up among mothers

Using data on all businesses started by mothers of young children in Sweden between 2000 and 2014, we explore which factors are associated with entrepreneurship among mothers. We find that being unemployed or being an immigrant is positively associated with business start-up by mothers; however, our findings show that what matters more is the paternity leave taken by the mothers’ partners. These findings suggest that in institutional contexts such as Sweden, gender inequality is not a persistent feature of most households and that women can make career choices by negotiating with their partners who will make use of the parental benefits offered by the government