
doi: 10.2139/ssrn.868472
Empirical patterns of labor supply at the micro level tend to reject the unitary model assumption implicit in most macro theories, where households are the deemed to be rational agents. This paper examines the rise in in per-capita labor since 1975 and asks how the inclusion of bargaining between spouses in a standard macro model would alter the analysis of recent trends in aggregate labor supply. The main findings are that the stationarity of married men's work hours reflects weakening of men's bargaining position as women's wages rose, and that the unitary model seriously overstates the response of aggregate labor to trends in relative wages.
General Aggregative Models, Neoclassical, Marriage, Marital Dissolution, Family Structure, Economics of Gender, Non-labor Discrimination, Time Allocation, Work Behavior, Employment Determination and Creation, Human Capital, Time Allocation and Labor Supply, jel: jel:J22, jel: jel:J12, jel: jel:J16, jel: jel:J20, jel: jel:E13
General Aggregative Models, Neoclassical, Marriage, Marital Dissolution, Family Structure, Economics of Gender, Non-labor Discrimination, Time Allocation, Work Behavior, Employment Determination and Creation, Human Capital, Time Allocation and Labor Supply, jel: jel:J22, jel: jel:J12, jel: jel:J16, jel: jel:J20, jel: jel:E13
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