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Real Wage and Employment Uncertainty and the Labor Force Participation Decisions of Married Women

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  • Blau, Francine D
  • Grossberg, Adam J

Abstract

This paper argues that an important factor in a married woman's decision to enter the labor force is the degree of uncertainty associated with expectations of future wages and (husband's) income, and that high levels of uncertainty during the 1970s may have contributed substantially to the growth in participation in that decade. The authors apply a model of autoregressive conditional heteroskedasticity to aggregate time-series data to measure the level of uncertainty in each period. Their estimates support their hypothesis that the level of uncertainty is an important determinant of labor-force participation for married women. Copyright 1991 by Oxford University Press.

Suggested Citation

  • Blau, Francine D & Grossberg, Adam J, 1991. "Real Wage and Employment Uncertainty and the Labor Force Participation Decisions of Married Women," Economic Inquiry, Western Economic Association International, vol. 29(4), pages 678-695, October.
    • Handle: RePEc:oup:ecinqu:v:29:y:1991:i:4:p:678-95
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    Cited by:

    1. Papp, Bence, 2015. "A munkaerő-piaci bizonytalanság hatása a közszféra és a versenyszféra közötti bérkülönbségekre [The effect of labour-market uncertainty on the public/private wage gap]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(5), pages 473-501.
    2. Jacobsen, Joyce P., 1999. "Labor force participation," The Quarterly Review of Economics and Finance, Elsevier, vol. 39(5), pages 597-610.
    3. Ray C. Fair & Diane J. Macunovich, 1996. "Explaining the Labor Force Participation of Women 20-24," Cowles Foundation Discussion Papers 1116, Cowles Foundation for Research in Economics, Yale University.
    4. Janet Z. Giele & Elke Holst, 1997. "Dynamics of Women's Labor Force Participation in the United States and West Germany, 1983 to 1990," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 66(1), pages 55-61.

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