Family Income Inequality and the Role of Wives Earnings in Mexico: 1988-2010
We study family income inequality in Mexico from 1988 to 2010. Female labor supply increased during this period, especially for married women. The share of wives’ income among married couples grew from 13 percent in 1988 to 23 percent in 2010. However, the correlation of husbands’ and wives’ earnings has been fairly stable with a value close to 0.28, one of the highest correlations recorded across countries. We follow Cancian and Reed’s (1999) methodology in order to analyze whether wives’ income equalizes total family income distribution. We investigate several counterfactuals and conclude that the recent increment in female employment has contributed to a decrease in family income inequality mainly through a rise in wives’ labor supply in poor families.
|Date of creation:||May 2011|
|Date of revision:|
|Contact details of provider:|| Web page: http://www.colmex.mx/centros/cee/|
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Iulie Aslaksen & Tom Wennemo & Rolf Aaberge, 2000.
""Birds of a Feather Flock Together" The Impact of Choice of Spouse on Family Labor Income Inequality,"
276, Statistics Norway, Research Department.
- Iulie Aslaksen & Tom Wennemo & Rolf Aaberge, 2005. "'Birds of a Feather Flock Together': The Impact of Choice of Spouse on Family Labor Income Inequality," LABOUR, CEIS, vol. 19(3), pages 491-515, 09.
- David Johnson & Roger Wilkins, 2004. "Effects of Changes in Family Composition and Employment Patterns on the Distribution of Income in Australia: 1981-1982 to 1997-1998," The Economic Record, The Economic Society of Australia, vol. 80(249), pages 219-238, 06.
- Silvia Pasqua, 2002.
"Wives’ Work And Income Distribution In European Countries,"
CHILD Working Papers
wp01_02, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY.
- Silvia Pasqua, 2008. "Wives' work and income distribution in European countries," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 5(2), pages 157-186, December.
- Daniela Del Boca & Silvia Pasqua, 2003. "Employment Patterns of Husbands and Wives and Family Income Distribution in Italy (1977-98)," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 49(2), pages 221-245, 06.
- Lopez , J. Humberto & Perry, Guillermo, 2008. "Inequality in Latin America : determinants and consequences," Policy Research Working Paper Series 4504, The World Bank.
- Gerardo Esquivel, 2010.
"The dynamics of income inequality in Mexico since NAFTA,"
Serie documentos de trabajo del Centro de Estudios Económicos
2010-09, El Colegio de México, Centro de Estudios Económicos.
- Gerardo Esquivel, 2011. "The Dynamics of Income Inequality in Mexico since NAFTA," ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, vol. 0(Fall 2011), pages 155-188, August.
- David Fairris, 2003. "Unions and Wage Inequality in Mexico," ILR Review, Cornell University, ILR School, vol. 56(3), pages 481-497, April.
- Esquivel, Gerardo & Rodriguez-Lopez, Jose Antonio, 2003. "Technology, trade, and wage inequality in Mexico before and after NAFTA," Journal of Development Economics, Elsevier, vol. 72(2), pages 543-565, December.
- Luis F. Lopez-Calva & Nora Lustig, 2009. "The recent decline of inequality in Latin America: Argentina, Brazil, Mexico and Peru," Working Papers 140, ECINEQ, Society for the Study of Economic Inequality.
- Maria Cancian & Deborah Reed, 1998. "Assessing The Effects Of Wives' Earnings On Family Income Inequality," The Review of Economics and Statistics, MIT Press, vol. 80(1), pages 73-79, February.
- Raymundo M. Campos-Vázquez, 2010.
"Why did wage inequality decrease in Mexico after NAFTA?,"
Serie documentos de trabajo del Centro de Estudios Económicos
2010-15, El Colegio de México, Centro de Estudios Económicos.
- Raymundo M. Campos-Vázquez, 2013. "Why did wage inequality decrease in Mexico after NAFTA?," Economía Mexicana NUEVA ÉPOCA, , vol. 0(2), pages 245-278, July-Dece.
- Lehrer, Evelyn L., 2000. "The impact of women's employment on the distribution of earnings among married-couple households: a comparison between 1973 and 1992-1994," The Quarterly Review of Economics and Finance, Elsevier, vol. 40(3), pages 295-301.
- Mary C. Daly & Robert G. Valletta, 2006. "Inequality and Poverty in United States: The Effects of Rising Dispersion of Men's Earnings and Changing Family Behaviour," Economica, London School of Economics and Political Science, vol. 73(289), pages 75-98, 02.
- Cragg, Michael Ian & Epelbaum, Mario, 1996. "Why has wage dispersion grown in Mexico? Is it the incidence of reforms or the growing demand for skills?," Journal of Development Economics, Elsevier, vol. 51(1), pages 99-116, October.
- McKenzie, David J., 2003. "How do Households Cope with Aggregate Shocks? Evidence from the Mexican Peso Crisis," World Development, Elsevier, vol. 31(7), pages 1179-1199, July.
- Mariano Bosch & Marco Manacorda, 2010.
"Minimum Wages and Earnings Inequality in Urban Mexico,"
American Economic Journal: Applied Economics,
American Economic Association, vol. 2(4), pages 128-49, October.
- Bosch, Mariano & Manacorda, Marco, 2010. "Minimum Wages and Earnings Inequality in Urban Mexico," CEPR Discussion Papers 7882, C.E.P.R. Discussion Papers.
- José Mata & José A. F. Machado, 2005. "Counterfactual decomposition of changes in wage distributions using quantile regression," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 20(4), pages 445-465.
When requesting a correction, please mention this item's handle: RePEc:emx:ceedoc:2011-07. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Rocío Contreras Romo)
If references are entirely missing, you can add them using this form.