Evaluating the pin money hypothesis: The relationship between women‘s labour market activity, family income and poverty in Britain

In this paper we evaluate the hypothesis that the over-representation of women amongst the low paid is of little importance because women‘s earnings account for only a small proportion of total family income. Data from the General Household Survey (GHS), together with attitudinal evidence from three cross-sectional data sources, indicate that women‘s earnings are in fact an important and growing component of family income. The majority of the growth in the share of women‘s earnings occurs as a result of changing family labour structures; women‘s earnings are playing an increasingly important role in keeping their families out of poverty. JEL classification: J16; J31.