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The Impact of the Minimum Wage on Intra-household Decision-making: Evidence from Japan
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DOI：10.1007/s11205-026-03902-z.png)
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Abstract
En 中文
This study explores the impact of increasing wives' market value, quantified as wage, on intra-household tradeoffs using evidence in Japan. Employing a Difference-in-Difference approach, this study assesses the effects of minimum wage hikes on wives' relative income and time allocation within households. Analysis of the Japanese Household Panel Survey reveals that raising the minimum wage reduces the gender wage gap by encouraging wives, especially those with young children, to enter the labor force and work longer hours. Wives without young children increase their employment and reduce investments in home production, while those with young children sacrifice leisure time. In contrast to wives, husbands display limited responsiveness to the minimum wage hikes. The study underscores that narrowing the gender wage gap alone, without addressing disparities in areas like home production, could disproportionally burden women, emphasizing the need for comprehensive policy interventions.
Keywords:
Gender wage gap
Minimum wage
Time allocation
Intra-household trade-offs
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