The effect of labour demand on women’s intra-household decision power: evidence from Indonesia

Crawford School of Public Policy | Arndt-Corden Department of Economics

Event details

ACDE Seminar

Date & time

Tuesday 12 February 2019


Crawford Seminar Room 1, JG Crawford Building 132, Lennox Crossing, ANU


Sarah Xue Dong, Crawford School of Public Policy


Ross McLeod, Seminar Convener

The seminar presents a study contributing to the literature on household decisions and on women’s empowerment by looking at the relationship between labour market opportunities and women’s intra-household decision power in Indonesia. Using Bartik labour demand measures, the study identifies the causal effect of local labour demand for men and women on women’s intra-household decision power. labour demand is calculated using both household level labour force survey data and large and medium firm census data. Household decision power is calculated using direct information on who makes decisions in the household. The study finds that increase in labour demand for women in manufacturing sector increases women’s intra-household decision power by a large magnitude, especially in decisions on children’s health and clothes. Increase in labour demand for men in manufacturing decreases women’s household decision power. Contrary to bargaining theories, however, the effect of labour demand for women on their household decision power does not extend to women who do not work.

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