Working Paper: NBER ID: w19131
Authors: Claudia Olivetti
Abstract: This paper provides additional evidence on the U-shaped relationship between the process of economic development and women's labor force participation. The experience of the United States is studied in a comparative perspective relative to a sample of rich economies observed over the period 1890-2005. The analysis confirms the existence of a U-shaped female labor supply function, coming from both cross-country and within country variation. Further analysis of a large cross section of economies observed over the post-WWII period suggests that the timing of a country's transition to a modern path of economic development affects the shape of women's labor supply.
Keywords: Female labor force participation; Economic development; U-shaped relationship; Structural transformation
JEL Codes: J22; N11; N12
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Economic development (O29) | Female labor force participation (J21) |
| Initial decline in female labor supply during early economic development (J21) | U-shaped relationship between economic development and female labor force participation (J49) |
| Transition from agricultural to industrial economies (N53) | Decline in female labor force participation (J21) |
| Service sector growth (O14) | Increase in female labor force participation (J21) |
| Timing of a country’s transition to modern economic development (O11) | Shape of women’s labor supply (J29) |
| 19th century industrialization (N63) | More pronounced U-shape in female labor supply (J49) |