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The gender discrepancy in feelings of personal efficacy has been implicated in the greater vulnerability of women to psychological distress. Previous research shows that men's sense of efficacy is related to their earnings. This study, using data from the University of Michigan's Panel Study of Income Dynamics, examines the income efficacy relationship for women heading households, placing it in the context of work and family roles. We consider three theoretical perspectives: role enhancement (personal income is positively related to efficacy), sex-role socialization (personal income is less important than family roles in promoting efficacy), and role combination (the effects of income on efficacy are moderated by family role demands). We estimate several models of efficacy change (from 1972 to 1975-6), incorporating measures of previous efficacy, income, income change, employment transitions, family transitions (marriage and life-cycle changes in parenting) as well as controls for race, education and physical health. Findings reveal that earned income increases the efficacy of women heading households, regardless of family context, supporting the role enhancement hypothesis. However, nonearned income also promotes efficacy, suggesting that personal earnings may operate as a family-rather than individual-resource. Moreover, labor force status itself does not enhance efficacy. Thus it is not employment in itself but the rewards of employment that are most important in fostering feelings of personal efficacy among women heading households.
Downey et al. (Tue,) studied this question.