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Husband’s Unemployment and Wife’s Labor Supply: The Added Worker Effect across Europe

Bredtmann, J; Otten, S; Rulff, C; (2018) Husband’s Unemployment and Wife’s Labor Supply: The Added Worker Effect across Europe. ILR Review , 71 (5) pp. 1201-1231. 10.1177/0019793917739617. Green open access

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Abstract

This article investigates the responsiveness of women’s labor supply to their husband’s job loss—the so-called added worker effect. The authors contribute to the literature by taking an explicit internationally comparative perspective in analyzing the variation of the added worker effect across welfare regimes. Using longitudinal data from the European Union Statistics on Income and Living Conditions (EU-SILC) survey covering 28 European countries from 2004 to 2013, they find evidence of an added worker effect, which, however, varies over both the business cycle and the different welfare regimes in Europe. The latter result might be explained, in part, by differences in the design of the unemployment benefit system across countries, which create different incentives for the labor supply of wives of unemployed men.

Type: Article
Title: Husband’s Unemployment and Wife’s Labor Supply: The Added Worker Effect across Europe
Open access status: An open access version is available from UCL Discovery
DOI: 10.1177/0019793917739617
Publisher version: https://doi.org/10.1177%2F0019793917739617
Language: English
Additional information: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions.
Keywords: added worker effect, labor supply, unemployment, cross-country analysis
UCL classification: UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL SLASH
UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of SandHS > Dept of Economics
URI: https://discovery.ucl.ac.uk/id/eprint/10078252
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