We present a theoretical explanation of the gender wage gap which turns on the interaction between men and women in households. In equilibria where men are over-represented in full-time work, we show that firms rationally choose to hire women only at strictly lower wages than men. The model...

Zusammenfassung Die steigende Arbeitsmarktbeteiligung westdeutscher verheirateter Mütter wird in der Literatur als Element eines Prozesses der Despezialisierung der Geschlechter interpretiert, der durch den produktionstechnischen Ansatz der „Neuen Haushaltstheorie” nicht zu erklären sei....

It has been argued that the increasing labour market participation of married women with children can be understood as a process of gender despecialization which is not in accordance with the propositions of the production theoretic approach to household behaviour. The idea of this paper is to...

This paper tests the efficiency of insurance markets in the Pakistan Punjab by examining how crop choices are affected by the presence of price and yield risk. We estimate reduced-form and structural models of crop choices. Aithough we cannot reject the hypothesis that village members...

This paper develops a general equilibrium model of the gender wage gap. The difference in earnings is a consequence of a demographic regularity --- that men tend to marry younger women --- which limits women's labor mobility. However, couples are always free not to marry, and do so only if it is...