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The Wage Gap and the Leisure Gap for Double-Earner Couples

Empirical research has consistently shown that, on average, men are paid higher wages than women. Moreover, men enjoy more leisure time than women. We develop a noncooperative model of the private provision of family public goods to analyze whether the wage gap and the leisure gap are related. Simul...

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Bibliographic Details
Published in:Journal of population economics 2008-04, Vol.21 (2), p.281-304
Main Authors: Beblo, Miriam, Robledo, Julio R.
Format: Article
Language:English
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Summary:Empirical research has consistently shown that, on average, men are paid higher wages than women. Moreover, men enjoy more leisure time than women. We develop a noncooperative model of the private provision of family public goods to analyze whether the wage gap and the leisure gap are related. Simultaneous and sequential decision-making structures within a couple lead to different empirical hypotheses. Our estimates based on the German Socio-Economic Panel data show that husbands enjoy, other things equal, more leisure time than their wives. This advantage can be explained if the husband is the Stackelberg leader in a sequential private provision game.
ISSN:0933-1433
1432-1475
DOI:10.1007/s00148-006-0132-5