Modeling Participation of Women in to Labour Market

We model participation to the labor market of women who live in couple in France. We estimate for two periods of time going from 1994 to 2001 and from 2004 to 2013 a dynamic model with random effects using the ECHP (European community Household Panel) and the EU-SILC (European Union Statistics on Income and Living Conditions). We propose then an estimator in order to estimate the parameters of such a non linear model and in presence of endogenous explanatory variables such as fertility. The IV estimator is used to estimate the labour market participation of women. The results we obtain show a high persistence of the labor market behavior of women. The presence of a young children has a large and significant impact on the participation status. These results are indicating that it is difficult or costly for women to conciliate maternity and an active working life.