"Female labor force participation rates were also influenced by technological changes in the process of household production during the twentieth century. There were remarkable time-saving technological advances in household production, including stoves, washing machines, and the microwave oven. As a result, the amount of time required to produce many household commodities was cut drastically in the twentieth century, freeing up the scarce time for leisure activities and for work in the labor market. A large difference in the marginal product of household time between the husband and the wife makes it likely that one of the two spouses will specialize in the household sector. The technological advances in household production probably reduced the gap in household productivity between the two spouses, lessening the need for specialization. The economic model should not be interpreted as saying that only wage rates, reductions in fertility, and technological advances in household production are responsible for the huge increase in labor force participation of married women in this century. Changes in cultural and legal attitudes toward working women, as well as the social and economic disruptions brought about by two world wars and the Great Depression, also played a role. A fascinating example is that unmarried young women living in states that granted them an early right to obtain oral contraceptives (that is, the pill) without parental consent experienced a faster increase in labor force participation rates. However, the evidence indicates that economic factors do matter and that a significant part of the increase in the labor force participation of married women can be understood in terms of the changing economic environment. It has been estimated that about 60 percent of the total growth in the female labor force between 1890 and 1980 can be attributed to the rising real wage of women." ~ George J. Borjas, Labor Economics, Seventh Edition
“Because of the huge changes in female labor supply witnessed in recent decades, there is a perception that female labor supply is more elastic than male labor supply. It is important to stress, however, that this perception is mostly due to the fact that female labor force participation rates are very responsive to changes in the wage. Among working women, however, there is growing evidence that women’s hours of work, like those of men, are not very responsive to changes in the wage. Put differently, female labor supply mainly responds to economic factors at the margin of deciding whether or not to work, rather than at the margin of deciding how many hours to work once in the labor force. The evidence also suggests that the labor force participation rates and hours of work of married women respond to changes in the husband’s wage. A 10 percent increase in the husband’s wage lowers the participation rate of women by 5.3 percentage points and reduces the hours that working wives allocate to the labor market by 1.7 percent. There is little evidence, however, that the husband’s labor supply is affected by the wife’s wage rate. It is important to emphasize, however, that both the size and direction of husbandwife wage gaps are changing rapidly in the United States and in many other countries. The increase in the real wage of women has created numerous households where the wife’s wage equals or exceeds the husband’s. This narrowing of the wage gap within the household further weakens the incentives for specialization. In fact, we have observed a rise in the number of “Mr. Moms” who specialize in household production.” ~ George J. Borjas, Labor Economics, Seventh Edition