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Home and Market Hours, Human Capital Accumulation and Fertility

Johanna Wallenius and Tobias Laun

No 518, 2016 Meeting Papers from Society for Economic Dynamics

Abstract: Sweden boasts high fertility and high female employment. Notably, also women with young children work. However, part-time employment is very prevalent. There is a notable gender gap in both wages and earnings, which widens substantially after women have children. In this paper we study the effect of family policies on female employment, fertility and the gender wage gap. We are particularly interested in understanding why part-time employment is so prevalent in Sweden, despite heavily subsidized daycare, and the effect of this on the widening of the gender wage gap. We are also interested in understanding the role of home production, particularly the unequal division of home work across genders, in shaping women’s career paths. To this end, we develop a structural, life cycle model of heterogenous households which features endogenous labor supply, endogenous human capital accumulation, endogenous fertility and home production.

Date: 2016
New Economics Papers: this item is included in nep-dem, nep-dge and nep-hme
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Persistent link: https://EconPapers.repec.org/RePEc:red:sed016:518

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