Relative Cohort Size,Relative Income,and Married Women's Labor Force Participation: United States, 1968–2010

Relative cohort size—the ratio of young adults to prime‐age adults—and relative income—the income of young adults relative to their material aspirations—have experienced substantial changes over the past 40 years. Results here show that changes in relative cohort size explain about 60 percent of the declines in women's starting wage—both relative and absolute—in 1968–82, and 97 percent of its increase in 1982–2001. Relative income is hypothesized to affect a number of behavioral choices by young adults, including marriage, childbearing, and female labor force participation, as young people strive to achieve their desired standard of living. Older family income—the denominator in a relative income variable—increased by 59 percent between 1968 and 2000, and then declined by 9 percent. Its changes explain 47 percent of the increase in the labor force participation of white married women in their first 15 years out of school between 1970 and 1990, and 38 percent of the increase in hours worked in the same period. The study makes use of individual‐level measures of labor force participation and employs the lagged income of older families in a woman's year‐state‐race‐education group to instrument parental income and hence material aspirations.     

Occupational segregation and the gender wage gap

The role of occupational segregation in the determination of gender wage differentials is assessed. It is found (1) that occupational segregation plays less of a role in explaining wage differentials than do traditional human capital variables; (2) that earnings profiles generated with data that include a percent female (PF) measure of occupational segregation are not ideal for testing human capital predictions yet nonetheless yield parameters consistent with neoclassical theory; and (3) that lifetime work considerations, such as the degree of one's labor force intermittency, are important in determining both one's occupation and wage. The implications are that government antidiscrimination policies based on outcome measures are in general inefficient. Instead, the government should concentrate on creating incentives for women to participate in the labor market on an equal basis as males.     

Cointegration modeling of fertility in the United States

This paper presents estimates of a multiple time series model of fertility, female labor force participation, women's wages, and the relative cohort size of younger to older adult males. Cointegration methods permit modeling of these nonstationary variables, yielding estimates of the long-run relation among the variables, and the dynamic response of each variable to displacements from the steady state. The estimated steady state relation between fertility and the other variables is consistent with economic models of fertility, with fertility negatively related to female wages and male relative cohort size. Fertility responds to cohort size in a manner that is consistent with Easterlin's relative income model of household behavior. Finally, both female labor market variables adjust significantly to departures from the steady state relation, implying that they cannot be treated as exogenous in time series models of fertility.     

Time series analysis of fertility and female labor market behavior

Cointegration methods are employed to investigate relations among total fertility, female wages, labor force participation, educational attainment, and male relative cohort size. Two long run relations among the series are found, and these are identified as a fertility and a labor supply equation. All covariates enter into these relations with significant coefficients and theoretically plausible signs. Innovation analysis shows that both fertility and female labor force participation respond to changes in relative cohort size in directions consistent with the Easterlin hypothesis. Female labor force participation responds significantly to fertility shocks, but reverse effects are insignificant.All correspondence to Robert McNown. The authors wish to thank Cristobal Ridao-Cano, Kenneth Land, Alessandro Cigno, and an anonymous referee for comments on an earlier draft of this paper. Responsible editor: Alessandro Cigno.     

Economic and demographic effects on working women in Latin America

The paper uses historical census data and the latest household surveys to investigate the evolution of female employment in Latin America, the effect of demographic factors on female labor force participation, and the reasons for the observed male-female gap in labor earnings. The findings show that, though women's labor force participation in Latin America has indeed increased despite the adverse economic conditions of the last two decades, marriage and fertility still exercise a large negative effect on women's labor supply. On average in the 15 countries studied, marriage reduces the probability that a woman would work by half, and each child by a further 3–5% These effects result in age-participation profiles that decrease with age although the econometric analysis suggests that, as women get older, they have a ceteris paribus greater probability to seek employment. In all the countries studied women are rewarded less than men and gender differences in human capital characteristics cannot account for the observed earnings differential. The paper discusses the significance of the findings for potential policies to assist women, especially in the areas of education and fertility, and also suggests the direction of further reserarch.The views expressed here are those of the authors and should not be attributed to the World Bank and its affiliated organisations.     

The Role of Family Behaviors in Determining Income Distribution: The Case of South Korea

In this article, we examined what has contributed to the worsening income inequality and poverty between 1996 and 2011 in South Korea. We used a rank-preserving exchange method and a conditional reweighting method to assess the roles of family behaviors—including female labor force participation and family structure—characteristics of household heads, and men’s earnings. The results showed that the change in men’s earnings was a dominant factor in accounting for the increasing income inequality and poverty. The change in age and education among household heads also contributed significantly to the worsening income distribution. The change in family structure mainly affected the income disparity among lower-income families and increased poverty. The rise in women’s labor force participation improved the income distribution but not considerably. The distributional roles of family have not worked to prevent or reverse the worsening income distribution in the past few decades in South Korea.     

A tentative analysis of the effect of income on women's fertility]

The impact of income on women's fertility in China is analyzed using data from official and other published sources. The author notes that there is a clear link between lower fertility and higher income up to a certain point. This point seems to be when family income reaches a level of 300 yan in rural areas. Other factors affecting fertility are also considered, including the national family planning program, female educational level, and female labor force participation.     

Skill premium effects on fertility and female labor force supply

In the last twenty years the United States has seen a positive relationship between female labor supply and total fertility rates, which differs from the pattern observed over the preceding years. We construct a general equilibrium overlapping generations model capable of generating this changing relationship between fertility and female labor supply. We argue that skilled biased technological change in recent decades has increased the skill premium and has therefore decreased the relative cost of (unskilled) child care services. The positive effect of the increase in female mean wages on fertility rates, and the inducement for labor force participation provided by the reduction in the relative cost of child care services, generated the positive relationship between fertility rates and female labor force participation in the last two decades.All correspondence to Amaia Iza. This paper has benefited particularly from comments by Juan Carlos Conesa, Pedro Mira and Sara de la Rica. We also acknowledge countless conversations with María Paz Espinosa and useful comments from Jaime Alonso, Jose María Da-Rocha, Tim Kehoe, José Victor Rios-Rull, when the paper was presented at the IV Workshop of Dynamic Macroeconomics held in Vigo (Spain, July 1999) and in Universidade de Vigo (October, 2000). We also thank an anonymous referee whose comments enabled us to improve the paper considerably. Financial support from Universidad del País Vasco 9UPV 00035.321-13511/2001, Ministerio de Educación y Ciencia PB097-0620, MCYT BEC2000/1394 and Instituto de la mujer (Ministerio de Trabajo y Asuntos Sociales) MTAS 33/00 is gratefully acknowledged. Any remaining errors are the authors responsibility. Responsible editor: Junsen Zhang.     

Adieu Rabenmutter—culture,fertility, female labour supply,the gender wage gap and childcare

This paper studies the effect of cultural attitudes on childcare provision, fertility, female labour supply and the gender wage gap. Cross-country data show that fertility, female labour force participation and childcare provision are positively correlated with each other, while the gender wage gap seems to be negatively correlated with these variables. The paper presents a model with endogenous fertility, female labour supply and childcare choices driven by cultural attitudes which fits these facts. There may exist multiple equilibria: one with zero childcare provision, low fertility and female labour supply and high wage gap and one with high childcare provision, high fertility and female labour supply and low wage gap.     

Wage shocks,household labor supply,and income instability

Do married couples make joint labor supply decisions in response to each other’s wage shocks? The study on this question aids in understanding the link between the rising income instability and household insurance. Existing studies on household insurance either focus on consumption smoothing and take labor supply as a given, or only focus on wife’s labor responses to husband’s unemployment shocks. This article develops an intra-household insurance model that allows for insurance against permanent and transitory wage shocks from both partners. Estimation using the Survey of Income and Program Participation shows that wife increases labor supply in response to husband’s adverse wage shocks when both of them are working, and wife gets more nonlabor income when she is out of work. This intra-household insurance reduces earnings instability by about 2 to 9 %. These results suggest that joint labor supply decisions provide an extra smoothing effect on income instability.     

结婚、生育对工资的影响研究——基于性别工资差距角度

随着技术进步和女性人力资本水平的提高,男性和女性的劳动生产率差异逐渐缩小,但性别工资差距在我国是否缩小?全面开放的"二胎政策"又是否加深了女性就业困境?本文使用CGSS 2015数据,从结婚、生育角度出发,运用工具变量法、分位数回归、Oaxaca-blinder分解等方法考察婚育事件对劳动力工资的影响及其作用机制,探讨婚育视角下的性别工资差距问题,提出相应对策建议以促进性别公平。研究首先通过对城镇劳动力的婚姻状态和生育情况与工资性收入进行实证分析,发现在控制了个人特征、人力资本、职业性质和地区等因素后,性别工资差距仍显著存在且婚育事件拉大了该差距。其中结婚使男女劳动力的工资水平均有所提高,但由于原始工资水平的差异和溢价大小的不同,性别工资差距被拉大;生育使男性工资增长,女性工资缩水,这同样加大了性别工资差距。其次基于分位数回归结果进行Oaxaca-blinder平均工资差异分解,结果显示随着收入的增加,性别工资差距在缩小,但婚姻和生育对此差距的解释力度却越来越大且相对稳定。即低收入群体的工资差距较大,但婚育对该差距的解释力度较小,相反高收入群体的性别工资差距较小,但婚育对该差距的贡献却...     

Economic development and labor force participation of older persons

The effect of economic development on labor force participation rates of older men and women is examined using national data for 134 countries. The analysis provides new insights into the evolution of retirement patterns with rising personal income, slowing population growth, the aging of the population, and shifts in the composition of employment. The analysis indicates a negative relationship between per capita income and labor force participation rates. This relationship is stronger for older men than for older women and is most apparent among middle income countries. An older population is associated with lower participation rates for older men and higher widow rates produce higher participation rates among older women. Industrial changes such as a decline in the proportion of the labor force employed in agriculture lower the proportion of older persons in the labor force. Finally, national social security policies are shown to impact the proportion of older persons that remains in the labor force.     

子女数量对已婚女性劳动供给和工资的影响

本文利用中国健康与营养调查数据估计了子女数量对已婚女性劳动供给、工作时间投入和工资水平的影响,并通过采用工具变量法和赫克曼两步法(Heckman two-step)解决了回归分析中子女数量的内生性问题以及工作时间和工资方程中存在的样本选择问题,第一次全面考察了中国城镇和农村已婚女性生育率对其劳动供给行为和工资水平的因果效应。实证分析表明,生育子女数量的增加会显著降低城镇已婚女性的劳动供给,并且显著降低在业女性的工作时间投入和工资水平。生育子女数量的增加对农村已婚女性是否参与非农就业没有显著影响,对参与了非农就业女性的工资也没有显著影响,但是显著降低了其工作时间投入。     

Is the Demographic Dividend an Education Dividend?

The effect of changes in age structure on economic growth has been widely studied in the demography and population economics literature. The beneficial effect of changes in age structure after a decrease in fertility has become known as the “demographic dividend.” In this article, we reassess the empirical evidence on the associations among economic growth, changes in age structure, labor force participation, and educational attainment. Using a global panel of countries, we find that after the effect of human capital dynamics is controlled for, no evidence exists that changes in age structure affect labor productivity. Our results imply that improvements in educational attainment are the key to explaining productivity and income growth and that a substantial portion of the demographic dividend is an education dividend.     

Family migration and changes in women's earnings: A decomposition analysis

Married women who migrate with their families experience relative earnings losses after migration. In this study, we use data from the 1987 Wave of the Panel Study of Income Dynamics to explicitly examine the relative importance of three sources of those losses: labor force participation, hours of labor supplied, and wages. We estimate earnings models with Heckman's sample selection method for each of four years following migration. The results and subsequent coefficient decomposition methods show that labor force exit and a reduction of labor supplied contribute the largest share to the earnings penalty attached to migration for married women. The participation effect, although reduced in size, is significant for three years following migration. The wages of employed married women who migrate appear to be unaffected in any year following migration.     

Explaining levels of within-group wage inequality in U.S. labor markets

Most research on earnings inequality has focused on the growing gap between workers of different races and at different education, age, and income levels, but a large portion of the increasing inequality has actually occurred within these groups. This article focuses on the extent and sources of "within-group" wage inequality in more than 500 labor markets in the United States in 1990. In addition to documenting that within-group wage inequality across regions varies more widely today than over the past several decades, the analysis reveals that two frequently cited explanations of rising wage inequality over time have little impact on within-group wage inequality when measured at the local labor market level: (1) industrial shifts and (2) increased technology and trade. By contrast, flexible and insecure employment conditions (e.g., unemployment, contingent work, and immigration) are associated strongly with high local levels of within-group wage inequality, especially among women.     

Relative Income,Race, and Fertility

If a white husband's income is higher than expected for men of his age, race, education, job characteristics, and region, economic theory predicts higher complete fertility for his wife. In the present study one per cent public use samples from the 1970 Census for California and Hawaii were used to examine the effect of relative income on Japanese, Chinese, and black fertility. Relative income was defined in two ways: (1) with regard to earnings of husbands of the same race, education, employment, and state; (2) with regard to earnings of white husbands of the same education, employment, and state. High relative incomes defined in each way were associated with increased completed fertility of Japanese and Chinese in Hawaii, where Orientals form a majority. Neither definition of high relative income was associated with the completed fertility of Japanese, Chinese, or blacks in California, where non-whites form a minority. The results suggest that the effect of relative income on fertility for a racial group will be positive only where there are few racial barriers to their attainment of high incomes.     

最低工资标准提升的劳动供给效应——基于回归间断设计的经验研究

文章依据中国健康与营养调查1997～2009年的微观数据,应用回归间断设计方法分析了最低工资标准提升对低收入群体劳动供给的影响。研究结果表明,提升最低工资标准未对男性就业和工作时间产生显著的影响,也未对女性工作时间产生显著影响,但对女性就业产生了显著的消极影响,这导致女性劳动力供给明显降低。随着相对工资的上升,男性就业、男性工作时间和女性工作时间均呈现上升趋势。因此,政府应逐渐适度地提高最低工资标准,在保证低收入群体劳动供给不受较大消极影响的同时,渐进地提高低收入群体的工资水平。     

亚洲女性收入对生育率影响的国际比较研究--基于劳动参与率、受教育程度、就业方式的视角

通过构建家庭效用函数模型,论证了家庭收入增长中女性收入对家庭生育决策的影响,说明了随着女性收入的提高,会降低生育率。进一步,通过引用女性劳动参与率、受教育程度及就业方式作为女性收入对生育率影响的中间变量,再运用相关数据进行实证分析,发现女性劳动参与率、受教育程度对生育率有着负向的影响,而女性非全日制就业方式对生育率有着正向的影响。再进一步,对亚洲各国生育政策的调整进行国际比较,探讨生育政策的具体措施与影响女性收入的三个因素之间的关系,最后针对中国目前的生育水平提出两方面的建议：硬政策的完善和软环境的支持,以有助于提高人口素质,优化人口结构。     

Child poverty and changes in child poverty

This article offers a cross-country overview of child poverty, changes in child poverty, and the impact of public policy in North America and Europe. Levels and changes in child poverty rates in 12 Organisation for Economic Co-operation and Development (OECD) countries during the 1990s are documented using data from the Luxembourg Income Study project, and a decomposition analysis is used to uncover the relative role of demographic factors, labor markets, and income transfers from the state in determining the magnitude and direction of the changes. Child poverty rates fell noticeably in only three countries and rose in three others. In no country were demographic factors a force for higher child poverty rates, but these factors were also limited in their ability to cushion children from adverse shocks originating in the labor market or the government sector. Increases in the labor market engagement of mothers consistently lowered child poverty rates, while decreases in the employment rates and earnings of fathers were a force for higher rates. Finally, there is no single road to lower child poverty rates. Reforms to income transfers intended to increase labor supply may or may not end up lowering the child poverty rate.