Memorandum,
Oslo University, Department of Economics

Abstract: The present study applies a particular econometric framework which allows for complex non-convex budget sets, highly non-linear labor supply curves and imperfect markets with institutional constraints. A married couple version of the model is estimated on Italian microdata. The empirical results demonstrate that the model reproduces the distribution of labor supply for females and males quite well. Moreover, the results show that male labor supply is rather inelastic while labor supply among females, especially participation, is considerably more elastic.

Keywords: MARRIAGE; LABOUR SUPPLY

JEL-codes: J12; J16; J21; C51

24 pages, 1997

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