Neumark, D., &Postlewaite, A. (1995). Relative income concerns and the rise in married women& #39;s employment(No. w5044). National Bureau of Economic Research.
We ask whether women's decisions to be in the labor force may be affected by the decisions of other women in ways not captured by standard models. We develop a model that augments the simple neoclassical framework by introducing relative income concerns into women's (or families') utility functions. In this model, the entry of some women into paid employment can spur the entry of other ...