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Title: Home Ownership, Men's Labor Supply, and Family Size

Citation Type: Miscellaneous

Publication Year: 2012

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Abstract: In this paper, I consider the extent to which home ownership affects men's labor supply. Research on the labor-supply consequences of home ownership is complicated by the endogeneity of owner-occupied housing. To address this endogeneity problem, I use a set of family size instruments (the presence of the third and additional children) to estimate the effect of home ownership in a recursive bivariate probit model. Based on a sample of married white male household heads from the American Community Survey, the IV result suggests that men who own their homes are 1.2% more likely to be employed relative to those who rent. I also show that the relationship between home ownership and family size is highly nonlinear and non-monotonic. The first two children have positive influence on both home ownership and men's employment. The third and additional children are negatively associated with home ownership but have no significant incremental effects on men's labor supply.

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Authors: Dai, Jie

Publisher: Syracuse University

Data Collections: IPUMS USA

Topics: Family and Marriage, Gender, Labor Force and Occupational Structure

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