Intra-family distribution of paid-work time

Abstract

This paper analyses the intra-family distribution of paid-work time in five European countries (France, Germany, Italy, Spain and the UK). To that end, we formulate a collective model which allows us to characterise the efficient labour supply decisions of each spouse. This two-equation model is then simultaneously estimated by using national panel data drawn from the European Community Household Panel-ECHP (1994-2001). Empirical results clearly show that, in all sample countries, the labour supply of wives is affected by own wages, household and own non-labour incomes and the number of children, whereas evidence for husbands differs across countries.