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Employment Dynamics Among British Lone Mothers


  • Ermisch, John F
  • Wright, Robert E


We adopt a stochastic model of labor market turnover in order to analyze entries to and exits from paid employment by British lone mothers. We estimate the model using demographic and employment history data from the 1980 Women and Employment Survey. The theoretical model predicts that the exit rate falls and entry rises with a higher woman's human capital wage, and that a higher utility flow received when out of employment has the opposite effects. These predictions are generally confirmed by the parameter estimates, although welfare benefits received when not employed are only found to discourage employment in a restricted model that is rejected by the data.

Suggested Citation

  • Ermisch, John F & Wright, Robert E, 1989. "Employment Dynamics Among British Lone Mothers," CEPR Discussion Papers 302, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:302

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    References listed on IDEAS

    1. Fishlow, Albert, 1985. "Lessons from the past: capital markets during the 19th century and the interwar period," International Organization, Cambridge University Press, vol. 39(03), pages 383-439, June.
    2. Barry Eichengreen and Richard Portes., 1988. "Settling Defaults in the Era of Bond Finance," Economics Working Papers 8885, University of California at Berkeley.
    3. Stanley Fischer, 1987. "Resolving the International Debt Crisis," NBER Working Papers 2373, National Bureau of Economic Research, Inc.
    4. Eichengreen, Barry & Portes, Richard, 1986. "The Anatomy of Financial Crises," CEPR Discussion Papers 130, C.E.P.R. Discussion Papers.
    5. Sule Ozler, 1988. "Evolution of Commerical Bank Lending to Developing Countries," UCLA Economics Working Papers 497, UCLA Department of Economics.
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