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Children and female labour supply behaviour

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  • Xiaodi Xie

Abstract

Using the generalized residual method, this paper investigates the assumption that children are exogenous in the labour supply equations of married women via alternative regression specifications for the children variables. The empirical results of this paper suggest that children are endogenous to the participation decision and likely to be exogenous to the hours of work decision for married women. Children under age six have a dramatic negative impact on the labour force participation of married women. These findings support the implication of the literature relating fixed costs of employment, including child care costs, to female labour supply.

Suggested Citation

  • Xiaodi Xie, 1997. "Children and female labour supply behaviour," Applied Economics, Taylor & Francis Journals, vol. 29(10), pages 1303-1310.
    • Handle: RePEc:taf:applec:v:29:y:1997:i:10:p:1303-1310
    DOI: 10.1080/00036849700000020
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    2. Obbey Elamin & Len Gill & Martyn Andrews, 2020. "Insights from kernel conditional-probability estimates into female labour force participation decision in the UK," Empirical Economics, Springer, vol. 58(6), pages 2981-3006, June.
    3. Mahdi Majbouri, 2019. "Twins, family size and female labour force participation in Iran," Applied Economics, Taylor & Francis Journals, vol. 51(4), pages 387-397, January.
    4. Li, Haizheng & Zax, Jeffrey S., 2003. "Labor supply in urban China," Journal of Comparative Economics, Elsevier, vol. 31(4), pages 795-817, December.
    5. Rachel Connelly & Deborah DeGraff & Deborah Levison & Brian McCall, 2006. "Tackling The Endogeneity Of Fertility In The Study Of Women'S Employment In Developing Countries: Alternative Estimation Strategies Using Data From Urban Brazil," Feminist Economics, Taylor & Francis Journals, vol. 12(4), pages 561-597.
    6. Patralekha Ukil, 2015. "Effect of Fertility on Female Labour Force Participation in the United Kingdom," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 9(2), pages 109-132, May.
    7. Ren頍orissette & Yuqian Lu & Feng Hou, 2012. "Marriage, cohabitation and women's response to changes in the male wage structure," Applied Economics, Taylor & Francis Journals, vol. 44(19), pages 2499-2516, July.

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