Why are Well-educated Women not Full-timers?
A high proportion of well-educated women in Denmark chooses to work part-time or completely stay outside the labour market. We analyse this phenomenon in a discrete choice dynamic programming framework, taking the potentially endogenous effect of work experience on annual earnings into account. The main findings are that the disutility of full-time work increases with obtained work experience and education. Only the level of returns to these variables serves to outweigh this effect, and results in a high degree of persistence in the full-time participation pattern. Simulation reveals that the participation pattern is significantly affected by changing returns to skills.
|Date of creation:||01 Aug 2003|
|Date of revision:|
|Note:||Published in Danish Journal of Economics, vol. 144(1), pp43-74, 2006|
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