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Women's Labor Supply, Marriage, and Welfare Dependency

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  • Shoshana Grossbard

Abstract

. This paper provides a rational choice model that simultaneously analyses women's decisions about welfare dependency, labor supply, and marriage. The model is based on the Demand and Supply (D&S) models of marriage inspired by Becker's theory of marriage. In addition to reproducing old insights about income effects and marriage market effects on welfare dependency, the model offers new insights regarding the effects on welfare dependency of sex ratios, divorce laws, cohort size, and traditional expectations about marriage and family. The model helps understand why welfare is more common among black women in the USA and offers a new interpretation for past trends in American women's welfare dependency: the big increase in welfare dependency in the late 1960s is interpreted as a baby‐boom phenomenon and recent reductions in welfare dependency are partially seen as the expression of young women's better marriage market opportunities.

Suggested Citation

  • Shoshana Grossbard, 2005. "Women's Labor Supply, Marriage, and Welfare Dependency," LABOUR, CEIS, vol. 19(s1), pages 211-241, December.
    • Handle: RePEc:bla:labour:v:19:y:2005:i:s1:p:211-241
    DOI: 10.1111/j.1467-9914.2005.00327.x
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    File URL: https://doi.org/10.1111/j.1467-9914.2005.00327.x
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    References listed on IDEAS

    as
    1. Grossbard,Shoshana A. (ed.), 2003. "Marriage and the Economy," Cambridge Books, Cambridge University Press, number 9780521891431.
    2. Keane, Michael & Moffitt, Robert, 1998. "A Structural Model of Multiple Welfare Program Participation and Labor Supply," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 39(3), pages 553-589, August.
    3. repec:mpr:mprres:2734 is not listed on IDEAS
    4. repec:mpr:mprres:652 is not listed on IDEAS
    5. Grossbard,Shoshana A. (ed.), 2003. "Marriage and the Economy," Cambridge Books, Cambridge University Press, number 9780521814546.
    6. Ronald Mincy & Shoshana Grossbard & Chien-Chung Huang, 2005. "An Economic Analysis of Co-Parenting Choices: Single Parent, Visiting Father, Cohabitation, Marriage," Labor and Demography 0505004, University Library of Munich, Germany.
    7. David T. Ellwood, 1986. "Targeting Would-Be Long-Term Recipients of AFDC," Mathematica Policy Research Reports 35f03eda0fa0455aa0dc255fb, Mathematica Policy Research.
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    Cited by:

    1. Sonia Oreffice, 2007. "Did the legalization of abortion increase women’s household bargaining power? Evidence from labor supply," Review of Economics of the Household, Springer, vol. 5(2), pages 181-207, June.
    2. Chris Klaveren & Bernard Praag & Henriette Maassen van den Brink, 2008. "A public good version of the collective household model: an empirical approach with an application to British household data," Review of Economics of the Household, Springer, vol. 6(2), pages 169-191, June.
    3. Ekert-Jaffe, Olivia & Grossbard, Shoshana, 2008. "Does community property discourage unpartnered births?," European Journal of Political Economy, Elsevier, vol. 24(1), pages 25-40, March.
    4. Scott Cunningham & Todd D. Kendall, 2017. "Prostitution, hours, job amenities and education," Review of Economics of the Household, Springer, vol. 15(4), pages 1055-1080, December.
    5. Larry Taylor, 2011. "The transition to mid-life divorce," Review of Economics of the Household, Springer, vol. 9(2), pages 251-271, June.

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