Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/185155 
Year of Publication: 
2018
Series/Report no.: 
IZA Discussion Papers No. 11695
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
This paper analyzes the efficient labor supply of male and female workers in Latin American countries employing the collective model framework (Chiappori et al.,2002). Using data from Time Use Surveys for Mexico (2009) and Colombia (2012), we find evidence of Pareto-efficient labor supply decisions within households, as the collective rationality is not rejected in the two countries. We find that higher female wages are related to more labor market hours of female workers, and male workers show an altruistic behavior towards females with the increase of their labor income. Sex ratio are related to transfers of additional income from male to female workers in Colombia, which sheds light on the relevance of distribution factors in the internal decision process of the couple. Our results suggest that the distribution of bargaining power within the household is an important factor that should be considered when analyzing household decisions.
Subjects: 
household
collective models
labour supply
Latin America countries
JEL: 
D10
J22
Document Type: 
Working Paper

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