IDEAS home Printed from https://ideas.repec.org/a/jed/journl/v39y2014i3p81-114.html
   My bibliography  Save this article

A Dynamic Model of Female Labor Force Participation Rate and Human Capital Investment

Author

Listed:
  • Radek Szulga

    (Carleton College, U.S.A.)

Abstract

This paper develops a dynamic model of human capital investment and labor participation. The main focus is on the fact that women's labor force participation rate is U-shaped over the course of development. We also analyze the behavior of the relative education levels of men and women, the education levels of women in the labor force and outside of it, and the magnitude and sign of income and wage effects. The underlying assumption of the model is the existence of economies of scope in the traditional sector of the economy. This creates a tradeoff between remaining in traditional production where farm work and child rearing can be undertaken simultaneously, and moving to modern production where income is potentially higher.

Suggested Citation

  • Radek Szulga, 2014. "A Dynamic Model of Female Labor Force Participation Rate and Human Capital Investment," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 39(3), pages 81-114, September.
    • Handle: RePEc:jed:journl:v:39:y:2014:i:3:p:81-114
    as

    Download full text from publisher

    File URL: http://www.jed.or.kr/full-text/39-3/5.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Linda N. Edwards & Elizabeth Field-Hendrey, 2002. "Home-Based Work and Women's Labor Force Decisions," Journal of Labor Economics, University of Chicago Press, vol. 20(1), pages 170-200, January.
    2. Frank Mott, 1972. "Fertility, life cycle stage and female labor Force participation in Rhode Island: A retrospective overview," Demography, Springer;Population Association of America (PAA), vol. 9(1), pages 173-185, February.
    3. Goldin, Claudia, 1992. "Understanding the Gender Gap: An Economic History of American Women," OUP Catalogue, Oxford University Press, number 9780195072709, Decembrie.
    4. Chen, Yuyu & Li, Hongbin, 2009. "Mother's education and child health: Is there a nurturing effect?," Journal of Health Economics, Elsevier, vol. 28(2), pages 413-426, March.
    5. Greenwood, Jeremy & Seshadri, Ananth, 2005. "Technological Progress and Economic Transformation," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 19, pages 1225-1273, Elsevier.
    6. Jacob Mincer, 1962. "Labor Force Participation of Married Women: A Study of Labor Supply," NBER Chapters, in: Aspects of Labor Economics, pages 63-105, National Bureau of Economic Research, Inc.
    7. Paula Lorgelly & Stephen Knowles & P. Dorian Owen, 2001. "Barro's fertility equations: the robustness of the role of female education and income," Applied Economics, Taylor & Francis Journals, vol. 33(8), pages 1065-1075.
    8. James E. Rauch & Scott Kostyshak, 2009. "The Three Arab Worlds," Journal of Economic Perspectives, American Economic Association, vol. 23(3), pages 165-188, Summer.
    9. Rodrigo R. Soares & Bruno L. S. Falcão, 2008. "The Demographic Transition and the Sexual Division of Labor," Journal of Political Economy, University of Chicago Press, vol. 116(6), pages 1058-1104, December.
    10. Paula K. Lorgelly & P. Dorian Owen, 1999. "The effect of female and male schooling on economic growth in the Barro-Lee model," Empirical Economics, Springer, vol. 24(3), pages 537-557.
    11. Oropesa, R S, 1993. "Female Labor Force Participation and Time-Saving Household Technology: A Case Study of the Microwave from 1978 to 1989," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 19(4), pages 567-579, March.
    12. Klasen, Stephan & Pieters, Janneke, 2012. "Push or Pull? Drivers of Female Labor Force Participation during India's Economic Boom," IZA Discussion Papers 6395, Institute of Labor Economics (IZA).
    13. Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 58(2), pages 277-297.
    14. Quinn Moore & Lucie Schmidt, 2004. "Do Maternal Investments in Human Capital Affect Childrens' Academic Achievement?," Department of Economics Working Papers 2004-13, Department of Economics, Williams College.
    15. World Bank, 2013. "World Development Indicators 2013," World Bank Publications - Books, The World Bank Group, number 13191, December.
    16. Sara Horrell & Jane Humphries, 1995. "Women's labour force participation and the transition to the male-breadwinner family, 1790-1865," Economic History Review, Economic History Society, vol. 48(1), pages 89-117, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aaronson, Daniel & Dehejia, Rajeev & Jordan, Andrew & Pop-Eleches, Cristian & Samii, Cyrus & Schulze, Karl, 2017. "The Effect of Fertility on Mothers' Labor Supply over the Last Two Centuries," IZA Discussion Papers 10559, Institute of Labor Economics (IZA).
    2. Miss Catriona Purfield, 2006. "Mind the Gap—Is Economic Growth in India Leaving Some States Behind?," IMF Working Papers 2006/103, International Monetary Fund.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Isis Gaddis & Stephan Klasen, 2014. "Economic development, structural change, and women’s labor force participation:," Journal of Population Economics, Springer;European Society for Population Economics, vol. 27(3), pages 639-681, July.
    2. Ali Fakih & Pascal Ghazalian, 2015. "Female employment in MENA’s manufacturing sector: the implications of firm-related and national factors," Economic Change and Restructuring, Springer, vol. 48(1), pages 37-69, February.
    3. Giulia Mancini, 2018. "Women's Labor Force Participation in Italy, 1861-2011," Rivista di storia economica, Società editrice il Mulino, issue 1, pages 3-68.
    4. Keller, Elisa, 2019. "Labor supply and gender differences in occupational choice," European Economic Review, Elsevier, vol. 115(C), pages 221-241.
    5. Hélène Périvier, 2007. "Les femmes sur le marché du travail aux Etats-Unis: une mise en perspective avec la France et la Suède," SciencePo Working papers Main hal-00972845, HAL.
    6. Rania Gihleb & Osnat Lifshitz, 2022. "Dynamic Effects of Educational Assortative Mating on Labor Supply," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 46, pages 302-327, October.
    7. Troske, Kenneth R. & Voicu, Alexandru, 2010. "Joint estimation of sequential labor force participation and fertility decisions using Markov chain Monte Carlo techniques," Labour Economics, Elsevier, vol. 17(1), pages 150-169, January.
    8. Jeremy Greenwood & Nezih Guner & Guillaume Vandenbroucke, 2017. "Family Economics Writ Large," Journal of Economic Literature, American Economic Association, vol. 55(4), pages 1346-1434, December.
    9. Behzadan, Nazanin & Chisik, Richard & Onder, Harun & Battaile, Bill, 2017. "Does inequality drive the Dutch disease? Theory and evidence," Journal of International Economics, Elsevier, vol. 106(C), pages 104-118.
    10. Nguyen Thang Dao & Julio Dávila & Angela Greulich, 2021. "The education gender gap and the demographic transition in developing countries," Journal of Population Economics, Springer;European Society for Population Economics, vol. 34(2), pages 431-474, April.
    11. Ming Liu & Sumner LaCroix, 2011. "The Impact of Stronger Property Rights in Pharmaceuticals on Innovation in Developed and Developing Countries," Working Papers 201116, University of Hawaii at Manoa, Department of Economics.
    12. Paolo Verme, 2015. "Economic development and female labor participation in the Middle East and North Africa: a test of the U-shape hypothesis," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-21, December.
    13. Morakinyo O. Adetutu, Anthony J. Glass, and Thomas G. Weyman-Jones, 2016. "Economy-wide Estimates of Rebound Effects: Evidence from Panel Data," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3).
    14. Baliamoune–Lutz, Mina & McGillivray, Mark, 2015. "The impact of gender inequality in education on income in Africa and the Middle East," Economic Modelling, Elsevier, vol. 47(C), pages 1-11.
    15. Jessica S. Bean, 2015. "‘To help keep the home going’: female labour supply in interwar London," Economic History Review, Economic History Society, vol. 68(2), pages 441-470, May.
    16. Scott, K. Rebecca, 2015. "Demand and price uncertainty: Rational habits in international gasoline demand," Energy, Elsevier, vol. 79(C), pages 40-49.
    17. Chaudhary, Ruchika. & Verick, Sher., 2014. "Female labour force participation in India and beyond," ILO Working Papers 994867893402676, International Labour Organization.
    18. Mussarat Khan, 2016. "Contribution of female human capital in economic growth: an empirical analysis of Pakistan (1972–2012)," Quality & Quantity: International Journal of Methodology, Springer, vol. 50(2), pages 709-728, March.
    19. Tiago Cavalcanti & José Tavares, 2016. "The Output Cost of Gender Discrimination: A Model‐based Macroeconomics Estimate," Economic Journal, Royal Economic Society, vol. 126(590), pages 109-134, February.
    20. Ali Fakih & Pascal L. Ghazalian, 2013. "Female Labour Force Participation in MENA's Manufacturing Sector: The Implications of Firm-related and National Factors," CIRANO Working Papers 2013s-46, CIRANO.

    More about this item

    Keywords

    Female Labor Force Participation Rate; Human Capital; Economic Growth;
    All these keywords.

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jed:journl:v:39:y:2014:i:3:p:81-114. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sung Y. Park (email available below). General contact details of provider: https://edirc.repec.org/data/eccaukr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.