“The Returns to Cognitive Abilities and Personality Traits in Germany”, 2010-06-01 (; similar):
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. However, there is a robust wage penalty for an external locus of control for both men and women.
[Keywords: cognitive abilities, personality traits, Five Factor Model, locus of control, reciprocity, wages]