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The participation of couples in the labor market: an econometric analysis

  • DUGUET Emmanuel

    (EPEE - University of Evry)

  • SIMONNET Veronique

    (TEAM - University of Paris I)

This paper examines the interactions between household members’ utilities when deciding whether or not to join the labor market. Using asymptotic least squares, we analyze a sample of 5425 couples living in France in 1997. By comparing the results obtained with more standard methods, we find that the man’s participation equation is the most affected by the introduction of simultaneous decision making in the couple. The woman’s decision to participate has a positive and significant influence on their spouse’s decision to work, as do the number of children and the birth of a new child. The fact that the presence of children increases the participation of men and reduces the participation of women suggests that the added-worker effect should be interpreted more as a demographic phenomenon than as a consequence of unemployment.

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File URL: http://128.118.178.162/eps/lab/papers/0411/0411005.pdf
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Paper provided by EconWPA in its series Labor and Demography with number 0411005.

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Length: 27 pages
Date of creation: 16 Nov 2004
Date of revision:
Handle: RePEc:wpa:wuwpla:0411005
Note: Type of Document - pdf; pages: 27
Contact details of provider: Web page: http://128.118.178.162

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  1. David Margolis & Véronique Simonnet, 2002. "Educational Track, Networks and Labor Market Outcomes," Working Papers 2002-60, Centre de Recherche en Economie et Statistique.
  2. Stéfan Lollivier, 2001. "Les choix d'activité des femmes en couple : une approche longitudinale," Économie et Statistique, Programme National Persée, vol. 349(1), pages 125-140.
  3. Davies, Richard B & Elias, Peter & Penn, Roger, 1992. "The Relationship between a Husband's Unemployment and His Wife's Participation in the Labour Force," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 54(2), pages 145-71, May.
  4. Olivier Donni, 2001. "Collective Household Labor Supply: Nonparticipation and Income Taxation," Cahiers de recherche CREFE / CREFE Working Papers 140, CREFE, Université du Québec à Montréal.
  5. Kooreman, Peter, 1994. "Estimation of Econometric Models of Some Discrete Games," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 9(3), pages 255-68, July-Sept.
  6. Lundberg, Shelly, 1985. "The Added Worker Effect," Journal of Labor Economics, University of Chicago Press, vol. 3(1), pages 11-37, January.
  7. Dominique Anxo & Yusuf Kocoglu & Lennart Flood, 2002. "Offre de travail et répartition des activités domestiques et parentales au sein du couple : une comparaison entre la France et la Suède," Économie et Statistique, Programme National Persée, vol. 352(1), pages 127-150.
  8. Marjorie B. McElroy, 1990. "The Empirical Content of Nash-Bargained Household Behavior," Journal of Human Resources, University of Wisconsin Press, vol. 25(4), pages 559-583.
  9. Pierre-Andre Chiappori & Bernard Fortin & Guy Lacroix, 2002. "Marriage Market, Divorce Legislation, and Household Labor Supply," Journal of Political Economy, University of Chicago Press, vol. 110(1), pages 37-72, February.
  10. repec:ner:tilbur:urn:nbn:nl:ui:12-377584 is not listed on IDEAS
  11. Sylvie Lagarde & Jean-David Fermanian, 1999. "Les horaires de travail dans le couple," Économie et Statistique, Programme National Persée, vol. 321(1), pages 89-110.
  12. Dex, Shirley, et al, 1995. "Cross-National Comparisons of the Labour Force Participation of Women Married to Unemployed Men," Oxford Economic Papers, Oxford University Press, vol. 47(4), pages 611-35, October.
  13. Giannelli, Gianna & Micklewright, John, 1995. "Why Do Women Married to Unemployed Men Have Low Participation Rates?," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(4), pages 471-86, November.
  14. Crepon, B. & Duguet, E. & Mairesse, J., 1998. "Research Investment, Innovation and Productivity: An Econometric Analysis at the Firm Level," Papiers d'Economie Mathématique et Applications 98.15, Université Panthéon-Sorbonne (Paris 1).
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