Job Search, Hours Restrictions, and Desired Hours of Work

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64 citations0/0 files storedJournal of Labor Economics

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Labor market dynamics and wage inequality Employment, Labor, and Gender Studies Gender, Labor, and Family Dynamics

Abstract

A structural empirical job search model is presented that incorporates the labor supply decision of individuals. The arrival of a job offer is modeled as a random draw from a wage‐hours offer distribution. Subjective information is used on desired working hours to identify optimal hours from offered hours. Policy simulations are performed to address several policy questions: Does a decrease in unemployment benefits lead to the acceptance of jobs with less preferred working hours? How does a decrease in the length of the standard working week affect the job acceptance behavior of the unemployed?

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2010Review of Economic Studies 1999Labor Supply: A Review of Alternative Approaches 1974Shadow Prices, Market Wages, and Labor Supply 1979Econometric Methods for the Duration of Unemployment 1979Estimating the Probability of Leaving Unemployment 1993Smooth unbiased multivariate probability simulators for maximum likelihood estimation of limited dependent variable models 1990Assessing Empirical Approaches for Analyzing Taxes and Labor Supply 1980The effect of wages, taxes, and fixed costs on women's labor force participation

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