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Female Labour supply and Income Inequality in Ireland

Author

Listed:
  • Donal O'Neill

    (Economics, National University of Ireland, Maynooth)

  • Olive Sweetman

    (Economics, National University of Ireland, Maynooth)

  • Brian Nolan

    (Economic and Social Research Institute)

  • Tim Callan

    (Economic and Social Research Institute)

Abstract

Over the last 10-15 years female labour force participation rates have increased substantially in Ireland. At the same time there has been a large increase in wage inequality but a decline in total household income inequality. In this paper we examine the relationship between the trends in female labour force participation, wage inequality and household income inequality in order to develop a better understanding of the processes governing inequality in Ireland. Our findings suggest that despite an increased correlation in the earnings of spouses the recent increases in female labour force participation and female wage rates account for between 20% and 50% of the recent fall in income inequality in Ireland. The remainder of the reduction is attributed to factors not directly related to wives' earnings.

Suggested Citation

  • Donal O'Neill & Olive Sweetman & Brian Nolan & Tim Callan, 1998. "Female Labour supply and Income Inequality in Ireland," Economics Department Working Paper Series n790698, Department of Economics, National University of Ireland - Maynooth.
    • Handle: RePEc:may:mayecw:n790698
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    File URL: http://repec.maynoothuniversity.ie/mayecw-files/N790698.pdf
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    References listed on IDEAS

    as
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    3. Juhn, Chinhui & Murphy, Kevin M, 1997. "Wage Inequality and Family Labor Supply," Journal of Labor Economics, University of Chicago Press, vol. 15(1), pages 72-97, January.
    4. Shorrocks, A F, 1982. "Inequality Decomposition by Factor Components," Econometrica, Econometric Society, vol. 50(1), pages 193-211, January.
    5. Callan, Tim & Nolan, Brian & Whelan, Brendan J. & Hannan, Damian F. & Creighton, S., 1989. "Poverty, Income and Welfare in Ireland," Research Series, Economic and Social Research Institute (ESRI), number GRS146, June.
    6. Richard B. Freeman, 1994. "Working Under Different Rules," NBER Books, National Bureau of Economic Research, Inc, number free94-1, July.
    7. Aedin Doris;, 1999. "The Means Testing Of Benefits And The Labour Supply Of The Wives Of Unemployed Men: Results From A Mover-Stayer Model," Economics Department Working Paper Series n940999, Department of Economics, National University of Ireland - Maynooth.
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    Cited by:

    1. Wen Hao Chen & Michael F rster & Ana Llena-Nozal, 2013. "Determinants of Household Earnings Inequality: The Role of Labour Market Trends and Changing Household Structure," LIS Working papers 591, LIS Cross-National Data Center in Luxembourg.
    2. Roantree, Barra & Maître, Bertrand & McTague, Alyvia & Privalko, Ivan, 2021. "Poverty, income inequality and living standards in Ireland," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT412, June.

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    More about this item

    Keywords

    female labour supply; family income inequality;

    JEL classification:

    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs

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