Experience and the Decision to Participate in the Labour Market: Results from a Conditional Logit Model

Presents results from cross‐section and conditional logit models estimating the probability of participation by married women. One version of each specification uses potential experience and the other a measure of the number of years worked in the market since the age of 18. A series of cross‐section logit models, representing a threshold analysis of the decision to work in the market, appears to be inappropriate, when unmeasured characteristics influence the probability of participation. Hence, reports results from a conditional logit model controlling for fixed effects. These results confirm the cross‐section findings regarding the limitation of potential experience. The results suggest that potential experience reflects the negative effects of ageing on the probability of participation rather than the positive impact of training or tastes for market work.