Abstract

ABSTRACT Since the 1970s, inequalities in earnings among men have risen in many countries. In the same period, married women's labour force participation has increased. This may affect inequality in household earnings in three ways, related to (a) the degree of inequality in women's earnings, (b) the share of women's earnings of total household earnings, and (c) the correlation of wife's and husband's earnings. Using Annual Norwegian Labour Force Surveys 1974–2004, with added register data on earnings, we find an equalizing effect of wives' earnings over time. Empirical analysis and simulations of hypothetical developments in household earnings inequality show that women's labour supply is the main explanation for these trends.

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