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Human Capital, Female Employment, and Electricity: Evidence from the Early 20th-Century United States

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  • Daniela Vidart
Abstract
This paper revisits the link between electrification and the rise in female labour force participation (LFP), and presents theoretical and empirical evidence showing that electrification triggered a rise in female LFP by increasing market opportunities for skilled women. I formalize my theory in an overlapping generations model and find that my mechanism explains one quarter of the rise in female LFP during the rollout of electricity in the U.S. (1880–1940), and matches the slow decline in female home production hours during this period. I then present micro-evidence supporting my theory using newly digitized data on the early electrification of the U.S.

Suggested Citation

  • Daniela Vidart, 2024. "Human Capital, Female Employment, and Electricity: Evidence from the Early 20th-Century United States," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 91(1), pages 560-594.
    • Handle: RePEc:oup:restud:v:91:y:2024:i:1:p:560-594.
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    Cited by:

    1. repec:spo:wpmain:info:hdl:2441/1qif9fqehq930ovnr511k1el4f is not listed on IDEAS
    2. Björn Brey, 2021. "The long-run gains from the early adoption of electricity," Discussion Papers 2021-05, University of Nottingham, GEP.
    3. repec:hal:spmain:info:hdl:2441/1qif9fqehq930ovnr511k1el4f is not listed on IDEAS
    4. Michele Fioretti & Jorge Tamayo, 2021. "Saving for a Dry Day: Coal, Dams, and the Energy Transition," Working Papers hal-03389152, HAL.
    5. Daniela Vidart, 2024. "Revisiting the Link Between Electrification and Fertility: Evidence from the Early 20th Century United States," Working papers 2024-03, University of Connecticut, Department of Economics.
    6. Agénor, Pierre-Richard & Agénor, Madina, 2023. "Access to infrastructure and women’s time allocation: Implications for growth and gender equality," Journal of Macroeconomics, Elsevier, vol. 75(C).
    7. repec:hal:wpspec:info:hdl:2441/1qif9fqehq930ovnr511k1el4f is not listed on IDEAS
    8. repec:spo:wpecon:info:hdl:2441/1qif9fqehq930ovnr511k1el4f is not listed on IDEAS

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    More about this item

    Keywords

    Female labour force participation; Human capital accumulation; Electrification; Skill-biased technical change; Home to market transition; Brain versus Brawn;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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