Economic theory and women's household status: The case of Japan

Economic development disadvantages wives. Conventional microeconomic theory predicts this. As household incomes rise, wives have incentives to specialize in intangible household production. This may raise total household production according to the theory of comparative advantage, but disproportionately favors husbands in distribution of the gains according to the marginal productivity theory of distribution. Wives may become better off in absolute terms but more dependent financially on their husbands and lose power within the household. Historically, Japanese gender roles became highly specialized and wives’ legal status declined, although other Meiji-era features protected wives. Policies to improve women's status should address the precise economic problem involved.