|M.Sc Student||Irina Larichkin|
|Subject||The Impact of Increasing in the Women's Educational Level|
on their Labor Force Participation Rate: Jewish
and Non Jewish Population
|Department||Department of Industrial Engineering and Management||Supervisor||Dr. Avner Ahituv|
|Full Thesis text - in Hebrew|
In this research we examine the influence of a decade increase in the Israeli female education level on their participation in the labor market. We identify the main factors that contribute to the significant differences in the employment activity of Jewish and Arab females.
In order to analyze the connections between the education level and participation rates we applied the LOGIT model that includes the participation probability factors of both sectors. The empirical results show a significant positive correlation between education level and participation rates for both female groups, and it is especially strong for the Arab sector.
The econometric analysis shows that the influence of marriage on the participation probability of Jewish females is opposite from Arab females. In the Jewish sector married women tend to participate more in the labor market, but in the Arab sector marriage lowers this probability. Based on this, we decided to find the main factors that influence on the employment activity of married females from both ethnic groups. Special attention was given to the relations between each of the spouses’ employment statuses. For this purpose we applied the LOGIT model of married females’ probability to participate in the labor market and the TOBIT model of their weekly work hours.
The results indicate the existence of significant positive correlation between employments of spouses in the Jewish sector. In addition, we did not find negative correlation between the working supplies of men and women. Based on these results we can propose that Jewish families’ behavior fits the "modern family" pattern, in other words female is considered as equal family maintainer. As for Arab families - the picture is not clear. There is an opposite correlation between employments of spouses, which indicates that the female is considered as secondary family maintainer. Nevertheless, we did not find direct negative correlation between work supply and wage of man and the work supply of the woman.