Work or housework? Mincer’s hypothesis and the labor supply elasticity of married women in Japan

Research output: Contribution to journalArticle

Abstract

Married women exhibit more elastic labor supply responses to wage changes than do single women or men. Mincer (Aspects of labor economics, Princeton University Press, Princeton, 1962) argued that this is explained by a high elasticity of substitution between market work and home production. To test this hypothesis, I use a sharp change in Japanese tax rates to estimate labor supply and home production elasticities for Japanese workers. The results support Mincer's hypothesis: market and home production are near-perfect substitutes for married Japanese women, while home production effects are modest for other demographic groups. These results contrast with those for the USA, where male and female elasticities have been converging.

Original languageEnglish
Pages (from-to)303-347
Number of pages45
JournalJapanese Economic Review
Volume71
Issue number2
DOIs
Publication statusPublished - Apr 1 2020

All Science Journal Classification (ASJC) codes

  • Economics and Econometrics

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