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Joint estimation of sequential labor force participation and fertility decisions using Markov chain Monte Carlo techniques

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  • Troske, Kenneth R.
  • Voicu, Alexandru

Abstract

We analyze the effect of children on the labor supply of married women in a framework that accounts for the endogeneity of labor market and fertility decisions, for the heterogeneity of the effects of children and their correlation with the fertility decisions, and for the correlation of sequential labor market decisions. Women with stronger propensity for market work have fewer children, work more before the first birth, and face larger negative effects of children. The total effect of a child remains considerable long after birth; prior birth-related reductions in labor supply account for a significant share of the total effect.

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Bibliographic Info

Article provided by Elsevier in its journal Labour Economics.

Volume (Year): 17 (2010)
Issue (Month): 1 (January)
Pages: 150-169

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Handle: RePEc:eee:labeco:v:17:y:2010:i:1:p:150-169

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Web page: http://www.elsevier.com/locate/labeco

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Keywords: Female labor supply Endogenous fertility decisions Heterogeneous children effects Multinomial probit model Gibbs sampler;

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Cited by:
  1. Bernd Fitzenberger & Katrin Sommerfeld & Susanne Steffes, 2013. "Causal Effects on Employment after First Birth: A Dynamic Treatment Approach," SOEPpapers on Multidisciplinary Panel Data Research 576, DIW Berlin, The German Socio-Economic Panel (SOEP).
  2. Elena Bardasi & Chiara Monfardini, 2004. "Women's Employment, Children and Transition: An Empirical Analysis on Poland," Eastward Enlargement of the Euro-zone Working Papers wp25, Free University Berlin, Jean Monnet Centre of Excellence, revised 15 Oct 2004.
  3. Xiaoyan Chen Youderian, 2014. "The motherhood wage penalty and non-working women," Economics Bulletin, AccessEcon, vol. 34(2), pages 757-765.
  4. Kenneth Troske & Alexandru Voicu, 2013. "The effect of the timing and spacing of births on the level of labor market involvement of married women," Empirical Economics, Springer, Springer, vol. 45(1), pages 483-521, August.

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