Why are Well-Educated Women Not Full-Timers?

45 Pages Posted: 8 Feb 2006  

Helena Skyt Nielsen

University of Aarhus

Mette Verner

University of Aarhus - Centre for Research in Social Integration and Marginalization (CIM)

Date Written: February 2006

Abstract

A priori, one would expect that well educated women would choose to work fulltime to collect the returns to their investment in education. However, that is not the case. We analyze this phenomenon in a discrete choice dynamic programming framework, taking the potentially endogenous effect of work experience on annual earnings into account. We find that the main explanations are flat experience profiles and a high disutility of work. Policy simulations reveal that a moderate change in the return to experience or a moderate reduction in unemployment benefits would increase the proportion of full-timers substantially.

Keywords: high-educated women, labour force participation, disutility of work, discrete

JEL Classification: D1, D91

Suggested Citation

Nielsen, Helena Skyt and Verner, Mette, Why are Well-Educated Women Not Full-Timers? (February 2006). Available at SSRN: https://ssrn.com/abstract=881270 or http://dx.doi.org/10.2139/ssrn.881270

Helena Skyt Nielsen (Contact Author)

University of Aarhus ( email )

Mette Verner

University of Aarhus - Centre for Research in Social Integration and Marginalization (CIM) ( email )

DK-8210 Aarhus V
Denmark
+45 8948 6416 (Phone)
+45 8615 5175 (Fax)

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