Working Paper: NBER ID: w28505
Authors: Stefania Albanesi; Jiyeon Kim
Abstract: The economic crisis associated with the emergence of the novel corona virus is unlike standard recessions. Demand for workers in high contact and inflexible service occupations has declined, while parental supply of labor has been reduced by lack of access to reliable child care and in-person schooling options. This has led to a substantial and persistent drop in employment and labor force participation for women, who are typically less affected by recessions than men. We examine real time data on employment, unemployment, labor force participation and gross job flows to document the gendered impact of the pandemic. We also discuss the potential long-term implications of this crisis, including the role of automation in depressing the recovery of employment for the worst hit service occupations.
Keywords: No keywords provided
JEL Codes: E24; J16; J2; J21; J23
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| COVID-19 recession (F44) | decline in employment for women (J21) |
| decline in employment for women (J21) | widening gender wage gap (J79) |
| lack of childcare options (J13) | increase in women's nonparticipation in the labor market (J29) |
| demand for labor in high-contact sectors (J29) | increase in women's nonparticipation in the labor market (J29) |
| occupation (J69) | employment outcomes for women (J21) |