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How Do Parents Allocate Time?

Tinbergen Institute Discussion Paper No. 08-079/3

49 Pages Posted: 2 Sep 2008  

Hans Bloemen

VU University Amsterdam; IZA Institute of Labor Economics; Tinbergen Institute; Netspar

Elena G. F. Stancanelli

Paris School of Economics (PSE)

Date Written: September 2, 2008

Abstract

This paper focuses on the time allocation of spouses and the impact of economic variables. We present a stylized model of the time allocation of spouses to illustrate the expected impact of wages and non-labour income. The empirical model simultaneously specifies three time-use choices -paid work, childcare, and housework- and wage and employment equations for each spouse, allowing for correlation across the errors of the ten equations. We exploit the rich information in the French time-use survey 1998-99 to estimate the model. The predictions of the theoretical model are mostly validated with the main exception of the standard hypothesis that performing housework does not bring utility. Parents' market time responds positively to changes in own wage. The own-wage elasticity of housework is negative while childcare does not react to changes in own wage. Women's non-market time is independent of their husband's wage; but both housework and childcare of fathers react positively to an increase in their wife's wage. Non-labour income reduces paid work by parents and increases their non-market time. Higher-educated and older parents spend more time with their children. There are significant and positive correlations across the errors of the spousal equations.

Keywords: Time Use, Work Behaviour, Household Economics

JEL Classification: D1, D13, J21

Suggested Citation

Bloemen, Hans and Stancanelli, Elena G. F., How Do Parents Allocate Time? (September 2, 2008). Tinbergen Institute Discussion Paper No. 08-079/3. Available at SSRN: https://ssrn.com/abstract=1262231 or http://dx.doi.org/10.2139/ssrn.1262231

Hans Bloemen (Contact Author)

VU University Amsterdam ( email )

De Boelelaan 1105
Amsterdam, ND North Holland 1081 HV
Netherlands

IZA Institute of Labor Economics

Schaumburg-Lippe-Str. 7 / 9
Bonn, D-53072
Germany

Tinbergen Institute

Gustav Mahlerplein 117
Amsterdam, 1082 MS
Netherlands

Netspar

P.O. Box 90153
Tilburg, 5000 LE
Netherlands

Elena G. F. Stancanelli

Paris School of Economics (PSE) ( email )

48 Boulevard Jourdan
Paris, 75014 75014
France

HOME PAGE: http://www.parisschoolofeconomics.eu/fr/stancanelli-elena/

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