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I study how urban transit infrastructure affects labor supply and gender inequality in the presence of married households. In such households, labor and commuting decisions are made jointly. When one spouse earns a higher wage, the household may sacrifice a portion of the other spouse's earnings to reduce commuting costs. Therefore, improving commute times can affect one partner's commuting by impacting their prospects (direct channel) and their spouse's (indirect channel). I set up a general equilibrium model featuring single and married households and use it to study new transit infrastructure in Lima, Peru. In the counterfactual analysis, areas that experienced the largest reductions in commuting times, the gender gap in real earnings among married households decreased by 12 percent. However, the gap remained unchanged among single households. The gap decreased through the direct channel but increased through the indirect channel.
Presenter(s)
Daniel Velasquez, University of Michigan, Ann Arbor
Transit Infrastructure, Couples' Commuting Choices, and Gender Inequality
Category
Volunteer Session Abstract Submission
Description
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Session: [289] TOPICS IN TRANSPORTATION (TPUG) Date: 7/5/2023 Time: 4:30 PM to 6:15 PM