There will be two (x 30mins) presentations for this Macro/international workshop.

Title - 1 - Structural Transformation and Intra-Household Bargaining (Jiaqi Li and Qianxue Zhang) (30 mins)

Abstract: A standard structural change model with intra-household bargaining predicts that moving out of agriculture increases female bargaining position by an increase in female to male wage ratio due to the rising service sector. However, we reject this prediction using data from Sub-Saharan Africa. We build a general equilibrium model with gender stigma. It shows that structural transformation reduces female bargaining power if social stigma exceeds the threshold jointly determined by female comparative advantage and substitutability of labor input between genders.

Title – 2 - Human Capital, Self-Insurance and Marriage Uncertainty (Jiaqi Li) (30 mins)

Abstract: Black women's high female labor supply has been a puzzle in economic and sociology literature, since economic and demographic variables fail to explain the gap. Therefore, literature relies on parameters( childcare cost and preferences) to explain the gap. By building a life cycle model of female labor supply, consumption, and savings with uncertainty in divorce shock, I show that only using the racial difference in marriage and divorce rates is able to generate the same racial gap in child penalties as empirical estimates. The structural model illustrates that Black women stay in the labor market to prevent human capital from depreciation as a means to self-insure against future divorce shocks