The Economic and Financial Crises in CEE and CIS: Gender Perspectives and Policy Choices

Ünal, Fatma Gül; Dokmanović, Mirjana; Abazov, Rafis

doi:10.2139/ssrn.1611715

Cited by 1 publication

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“…Considering transition countries, literature has evaluated the gender impact of crises in general terms (Unal, Dokmanovic, and Abazov 2010;UN 2009). However, more work needs to be done to develop a better understanding of the gender patterns in the labor supply responses to crises in the region.…”

Section: Crises and Labor Supply Responses: Literature Reviewmentioning

confidence: 99%

The Economic Crisis of 2008 and the Added Worker Effect in Transition Countries

Khitarishvili

2013

SSRN Journal

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in ABSTRACTFollowing the financial crisis of 2008, transition countries experienced an increase in female labor force participation rates and a decrease in male labor force participation rates, in part because male-dominated sectors were hit the hardest. These developments have prompted many to argue that women have been spared the full-blown effects of the crisis. In this paper, we critically evaluate this claim by investigating the extent to which the increase in the female labor force participation rate may have reflected a distress labor supply response to the crisis. We use the data on the 28 countries of the transition region assessed in the 2010 Life in Transition Survey. We find the presence of the female added worker effect, driven by married 45-to 54-year-old women with no children in the household. This effect is the strongest among the region's middle-income countries. Among men, a negative relationship between labor force participation and household-specific income shocks is indicated. Unlike the differences in the response to household-specific income shocks, the labor supply response to a weaker macroeconomic environment is negative for both men and women-hinting at the presence of the "discouraged worker" effect, which cuts across gender lines. We conclude that the decrease in men's labor force participation observed during this crisis is likely a combined result of the initial sectoral contraction and the subsequent impact of the discouraged worker effect. For women, on the other hand, the added worker effect appears to outweigh the discouraged worker effect, contributing to an increase in their labor force participation rate. Our findings highlight the presence of heterogeneity in the way in which household-specific shocks, as opposed to economy-wide conditions, affect both female and male labor force participation rates.

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Section: Crises and Labor Supply Responses: Literature Reviewmentioning

confidence: 99%

The Economic Crisis of 2008 and the Added Worker Effect in Transition Countries

Khitarishvili

2013

SSRN Journal

View full text Add to dashboard Cite

show abstract

The Economic and Financial Crises in CEE and CIS: Gender Perspectives and Policy Choices

Cited by 1 publication

References 25 publications

The Economic Crisis of 2008 and the Added Worker Effect in Transition Countries

The Economic Crisis of 2008 and the Added Worker Effect in Transition Countries

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