Do the Maids Get a Meager Pie?

Sahana Roy Chowdhury

Journal of Quantitative Economics, 2018, vol. 16, issue 2, No 11, 589-594

Abstract: Abstract This paper builds a simple theoretical model to provide an economic justification of why maids’ wages in general, are set much lower than what is socially desirable. The model studies possible spill-over effects in the maids’ labor market when maids are available to complement female labor supply in household activities. Maid is wage taker while the female household sets the wage. It shows that such optimization drives a wedge between social and private optimum leading to a meager pay for the maids.

Keywords: Female labor supply; Home-maid; Wage-setting; Welfare (search for similar items in EconPapers)
JEL-codes: D10 H31 J31 (search for similar items in EconPapers)
Date: 2018
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DOI: 10.1007/s40953-017-0091-6

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