Durable Ownership, Time Allocation, and Female Labor Force Participation: Evidence from China’s “Home Appliances to the Countryside” Rebate

Ishani Tewari and Yabin Wang

Economic Development and Cultural Change, 2021, vol. 70, issue 1, 87 - 127

Abstract: We estimate the effect of labor-saving household technologies on female labor force participation. To establish the causal link between home durable ownership and household time allocation, we exploit price shocks generated by the Home Appliances to the Countryside promotion, a rebate offered by the Chinese government to rural households for appliances such as refrigerators and washing machines. Following the rebate, eligible households had higher durable ownership, significant reductions in housework, and sizable increases in market work time and female labor force participation. In particular, we find that time reallocation is driven by females, rather than males, in the household. Further, females with primary-only education are most likely to adopt appliances, reduce housework, and participate in the labor market.

Date: 2021
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