Arbeitspapier

Globalization, Gender, and the Family

This paper shows that globalization has far-reaching implications for the economy’s fertility rate and family structure because it influences work-life balance. Employing population register data on all births, marriages, and divorces together with employer-employee linked data for Denmark, we show that lower labor market opportunities due to Chinese import competition lead to a shift towards family, with more parental leave and higher fertility as well as more marriages and fewer divorces. This shift is driven largely by women, not men. Correspondingly, the negative earnings implications of the rising import competition are concentrated on women, and gender earnings inequality increases. The paper establishes the market- versus family choice as a major determinant of trade adjustment costs. While older workers respond to the shock rather similarly whether female or male, for young workers the family response takes away the adjustment advantage they typically have–if the worker is a woman. The female biological clock–low fertility beyond the early forties–is central to this gender difference in adjustment, rather than the composition of jobs or workplaces, as well as other potential causes.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 7735

Classification
Wirtschaft
Trade and Labor Market Interactions
Economic Impacts of Globalization: Labor
Marriage; Marital Dissolution; Family Structure; Domestic Abuse
Fertility; Family Planning; Child Care; Children; Youth
Economics of Gender; Non-labor Discrimination
Subject
fertility
earnings inequality
marriage
divorce
import competition
gender gap

Event
Geistige Schöpfung
(who)
Keller, Wolfgang
Utar, Hale
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2019

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Keller, Wolfgang
  • Utar, Hale
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2019

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