Credit Market Constraints and Labor Market Decisions

43 Pages Posted: 21 Oct 2002

See all articles by Daniela Del Boca

Daniela Del Boca

University of Turin - Department of Economics; IZA Institute of Labor Economics; Centre for Household, Income, Labour and Demographic Economics (CHILD)

Annamaria Lusardi

George Washington University - Department of Accountancy; National Bureau of Economic Research (NBER)

Date Written: October 2002

Abstract

In this paper, we examine whether imperfections in credit markets spill over to other markets, particularly the labor market. We take the case of Italy, a country that experienced changes in the mortgage market brought about by the 1992 European unification and other institutional shifts. These events make Italy a good laboratory to study the effects of financial markets on the labor market. Using a simultaneous equation framework and household data from the Bank of Italy between 1989 and 1993, we estimate the relationship between female participation and mortgage use. We find a significant impact of mortgages on women's participation in the labor market.

Keywords: Mortgage Market, Female Labor Market Participation

JEL Classification: J2, D91

Suggested Citation

Del Boca, Daniela and Lusardi, Annamaria, Credit Market Constraints and Labor Market Decisions (October 2002). Available at SSRN: https://ssrn.com/abstract=341542 or http://dx.doi.org/10.2139/ssrn.341542

Daniela Del Boca (Contact Author)

University of Turin - Department of Economics ( email )

Via Po, 53
Torino, 10124
Italy

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Centre for Household, Income, Labour and Demographic Economics (CHILD)

Turin, TO
Italy

Annamaria Lusardi

George Washington University - Department of Accountancy ( email )

George Washington University School of Business
Washington, DC 20052
United States

HOME PAGE: http://business.gwu.edu/profiles/annamaria-lusardi/

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
105
Abstract Views
1,102
rank
351,719
PlumX Metrics