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Husbands' Wages and Married Women's Labor Supply in Urban China

Author

Listed:
  • Zhu, Mengbing

    (Beijing Normal University)

  • Li, Yi

    (Beijing Normal University)

  • Xing, Chunbing

    (Renmin University of China)

Abstract

This study examines the impact of husbands' wages on their wives' labor force participation rates and hours worked in urban China from 1995 to 2018. We find that an increase in husbands' wages reduces the labor force participation rate of married women with similar education levels. Controlling for gender identity—in particular, an aversion to the wife earning more than her husband—strengthens the income effect of husbands' wages. The labor supply effect of husbands' wages is more significant for younger and less-educated women and those with more children. The employed women's hours worked are negatively correlated with their husbands' wages, which is more significant for married women of older cohorts and with more children. This study helps us better understand the trend of the female labor supply in urban China. It sheds light on the impact of gender identity, welfare inequalities across families, and the well-being of households facing economic shocks.

Suggested Citation

  • Zhu, Mengbing & Li, Yi & Xing, Chunbing, 2023. "Husbands' Wages and Married Women's Labor Supply in Urban China," IZA Discussion Papers 16148, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp16148
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    More about this item

    Keywords

    husbands' wages; female labor force participation; hours worked; gender identity;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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