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Listen to Your Wife When It Comes to Saving Decision: Women’s Bargaining Power and Household’s Saving Outcome in Indonesia

Author

Listed:
  • Sulistiadi Dono Iskandar

    (Institute for Economic and Social Research, Faculty of Economics and Business, Universitas Indonesia (LPEM FEB UI))

  • Faradina Alifia Maizar

    (Institute for Economic and Social Research, Faculty of Economics and Business, Universitas Indonesia (LPEM FEB UI))

Abstract

Despite many advantages of women’s higher role in literature, GoI seems to lack commitment in addressing women empowerment issues as their priority agenda. Having more empowered women in our society becomes more salient as several studies suggest that it will lead to better financial outcomes such as saving in the household. In the era of the COVID-19 pandemic, where one could lose their source of income easily due to social restriction, having a society with a higher saving level is essential. By exploiting three waves (2000, 2007, 2014) of Indonesian Family Life Survey (IFLS) data and employing Fixed-Effect panel data analysis, this study found that a limited increase in the role of a wife in the household’s financial decision-making process will lead to a higher level of saving outcome, thus provide more resilience society toward the pandemic situation.

Suggested Citation

  • Sulistiadi Dono Iskandar & Faradina Alifia Maizar, 2020. "Listen to Your Wife When It Comes to Saving Decision: Women’s Bargaining Power and Household’s Saving Outcome in Indonesia," LPEM FEBUI Working Papers 202055, LPEM, Faculty of Economics and Business, University of Indonesia, revised 2020.
    • Handle: RePEc:lpe:wpaper:202055
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    File URL: https://www.lpem.org/repec/lpe/papers/WP202055.pdf
    File Function: First version, 2020
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    More about this item

    Keywords

    household savings — women’s bargaining power — intra-household decision-making — COVID-19 — Indonesia;

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General

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