Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
26 Cards in this Set
- Front
- Back
|
Describe the 1940 trend in terms of what age group the LFP rate was highest and lowest.
|
Highest
24-25 Lowest 65 + |
|
|
Describe the 1960 trend
|
Highest
18-19 Lowest 25-34 |
|
|
Describe the 1980 trend.
|
Highest
20-24 Lowest 55-64 |
|
|
Describe the 2007 trend.
|
Highest
54-55 Lowest 18-19 |
|
|
What happened to the LFP rate of all men between 1948 and 2007?
|
The LFP rate for men slightly decreased
|
|
|
At what ages are the largest gaps between the LFP rate in 1948 and 2007?
|
18-44
|
|
|
Compare the shape of the 2007 women graph with the 2007 men’s graph. For example, are the peak ages for LFP the same
|
No
The men’s graph for the peak ages are higher |
|
|
What is a wage elasticity calculation and what is an income elasticity calculation?
|
Measures the responsiveness of an individual’s labor supply to a change in his or her own wage.
Income elasticity Measures the responsiveness of an individual’s labor supply to change his or her non-labor income. |
|
|
Historically, has women’s labor supply elasticities been more elastic or less elastic than men’s elasticities? Why?
|
Larger
Women’s labor supply was considerably more sensitive to their own wages and to their spouse's wage or income than was men’s. |
|
|
Using more recent data, how do women’s labor supply elasticities compare to men’s?
|
Between 1980 and 2000, women’s wage elasticity fell from around 0.8 to about 0.4, while their responsiveness to their husbands’ wage declined in absolute value from around -0.4 to about -0.2.
Changes have occurred so far as manifestations of a “quiet revolution” in women’s relationship to the labor market in which most women |
|
|
What is the added worker effect?
|
Predicts that during economic downturns, if the primary earner becomes unemployed, other family members may enter (or postpone their exit from) the labor force in order to maintain family income.
|
|
|
What is the discouraged worker effect?
|
Holds that during times of high unemployment, when individuals lose their jobs, they may become discouraged and drop out of the labor force after a fruitless period of job search.
|
|
|
The higher the tax rate, the more likely a woman is to decide not to participate in the labor force. Why?
|
Married women often regarded as secondary earners within the family, face relatively high tax rate, the more likely a woman is to decide not to participate in the labor force.
|
|
|
How would child care subsidies or declines in child care costs affect women's LFP?
|
A decline in child care costs is also likely to have long-run effects on women’s labor supply and wages.
Women would experience shorter labor force interruptions; they would accumulate longer and more continuous labor market experience. |
|
|
What is a beneficial long-run effect of child care subsidies/declines in child care costs?
|
A reduction in child care costs is likely not only to raise women’s labor force participation but also to enhance their occupational attainment and earnings.
Child care subsidies could contribute to a reduction in labor market inequality between men and women. |
|
|
Rising qualifications: Education and experience
|
As women obtained more education, the wage rate they were able to earn by working I the market went up and they were more likely to work outside the home.
Once women were more inclined to work for pay, they sought more schooling and also more market-oriented schooling in order to be able to obtain better-paying jobs. |
|
|
The demand for female labor
|
The demand for workers in traditionally female clerical and service jobs increased and caused their wages to be higher than they otherwise would have been.
The labor market offering women higher wages, the reward to labor market experience rose during the latter part of the twentieth century, further increasing women’s incentives to work I the labor market. |
|
|
Overall productivity increases
|
Females as well as male workers benefited from increases in labor productivity die growth over time I the capital stock and technological change, which exerted upward pressure on wages, all else equal.
|
|
|
Demographic trends
|
Women’s responsibility is extremely time intensive, especially in the absence of adequate provision for their care outside the home, their presence has traditionally been one of the strongest barriers to women’s entry in to the labor market.
Women’s labor force participation is influenced by, and in turn influences their fertility; the same is true of martial stability. |
|
|
Changing role of husband’s income
|
Earnings of men increased more rapidly than the cost of living for most of the twentieth century.
As their husbands’ real income goes up, all else equal, married women’s labor force participation is reduced due to the income effect. |
|
|
Tastes
|
Shifting cultural norms, encouraged in part by the example of more women working in the market, led women to place a higher value on the independence and autonomy that their own earnings bring, and, increasingly, many women value career success in much the same way as their male counterparts.
|
|
|
Availability of market substitutes and technological change
|
Technological change made housework easier and less time-consuming.
Important innovations include indoor plumbing and electrification of houses, as well as the rapid diffusion of appliances, ranging from vacuum cleaners, washing machines, and refrigerators to dishwashers and microwave ovens. |
|
|
Summarize the WWII experience on women's labor market opportunities. What generally happened to women’s LFP in this time period and why?
|
As men were mobilized to serve in the armed forces, the surge in labor market opportunities, including relatively high-paying, traditionally male jobs, drove up the potential market wages of women.
Married women were urged to work outside the home to contribute to the war effort, raising the non-pecuniary benefits for market work for women and lowering their subjective assessment of the value of non-market. |
|
|
Summarize the post WWII baby boom time period. What generally happened to women’s LFP in this time period and why?
|
The first point to be made is that the rising female participation rates during this period were not due to the labor force entry of young women with small children, the group who would have been most affected by higher birthrates, but rather reflect the entry of older women with school-age or grown children.
|
|
|
Summarize the experience from the 1960s to the 1980s. What generally happened to women’s LFP in this time period and why?
|
Real wages were rising and unemployment was relatively low, favorable conditions for increases in female labor force participation rates.
|
|
|
What has been the trend in black male versus white male LFP rates and black female versus white female LFP rates?
|
The black male participation rate has decline
Black and white women are closing the gap |
