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Unemployment, Market Work and Household Production

Author

Listed:
  • Burda, Michael C.

    (Humboldt University Berlin)

  • Hamermesh, Daniel S.

    (University of Texas at Austin)

Abstract

Using time-diary data from four countries we show that the unemployed spend most of the time not working for pay in additional leisure and personal maintenance, not in increased household production. There is no relation between unemployment duration and the split of time between household production and leisure. U.S. data for 2003-2006 show that almost none of the lower amount of market work in areas of long-term high unemployment is offset by additional household production. In contrast, in those areas where unemployment has risen cyclically reduced market work is made up almost entirely by additional time spent in household production.

Suggested Citation

  • Burda, Michael C. & Hamermesh, Daniel S., 2009. "Unemployment, Market Work and Household Production," IZA Discussion Papers 3955, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp3955
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    References listed on IDEAS

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    7. Burda, Michael C. & Hamermesh, Daniel S., 2009. "Evidence on unemployment, market work and household production," SFB 649 Discussion Papers 2009-043, Humboldt University Berlin, Collaborative Research Center 649: Economic Risk.
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    More about this item

    Keywords

    time use; unemployment; household production; paid work;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation

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