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Do Labor Markets Provide Enough Short-Hour Jobs? An Analysis of Work Hours and Work Incentives

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Author Info
Rebitzer, James B
Taylor, Lowell J

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Abstract

This paper examines the role that work incentives play in the determination of work hours. The authors use a conventional efficiency wage model to analyze how firms respond to worker preferences regarding wage-hours packages. In contrast to previous work, they study markets in which workers have heterogeneous preferences. In this context, the authors demonstrate that job offers will specify both wages and work hours and many individuals will not be able to work their preferred number of hours. They show that the labor-market equilibrium may be characterized by a less than optimal number of short-hour jobs. Copyright 1995 by Oxford University Press.

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Publisher Info
Article provided by Oxford University Press in its journal Economic Inquiry.

Volume (Year): 33 (1995)
Issue (Month): 2 (April)
Pages: 257-73
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Handle: RePEc:oup:ecinqu:v:33:y:1995:i:2:p:257-73

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Shulamit Kahn & Kevin Lang, 1988. "The Effects of Hours Constraints on Labor Supply Estimates," NBER Working Papers 2647, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  2. Shapiro, Carl & Stiglitz, Joseph E, 1984. "Equilibrium Unemployment as a Worker Discipline Device," American Economic Review, American Economic Association, vol. 74(3), pages 433-44, June. [Downloadable!] (restricted)
  3. Joseph G. Altonji & Christina H. Paxson, 1986. "Job Characteristics and Hours of Work," NBER Working Papers 1895, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  4. William T. Dickens & Shelly J. Lundberg, 1985. "Hours Restrictions and Labor Supply," NBER Working Papers 1638, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  5. Shulamit B. Kahn & Kevin Lang, 1995. "The Causes of Hours Constraints: Evidence from Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 28(4a), pages 914-28, November.
  6. George A. Akerlof & Lawrence F. Katz, 1989. "Workers' Trust Funds and the Logic of Wage Profiles," NBER Working Papers 2548, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  7. Lazear, Edward P, 1981. "Agency, Earnings Profiles, Productivity, and Hours Restrictions," American Economic Review, American Economic Association, vol. 71(4), pages 606-20, September. [Downloadable!] (restricted)
  8. Lang, Kevin, 1989. "Why was there mandatory retirement?," Journal of Public Economics, Elsevier, vol. 39(1), pages 127-136, June. [Downloadable!] (restricted)
  9. Dickens, William T, et al, 1989. "Employee Crime and the Monitoring Puzzle," Journal of Labor Economics, University of Chicago Press, vol. 7(3), pages 331-47, July. [Downloadable!] (restricted)
  10. Stiglitz, Joseph E, 1987. "The Causes and Consequences of the Dependence of Quality on Price," Journal of Economic Literature, American Economic Association, vol. 25(1), pages 1-48, March. [Downloadable!] (restricted)
  11. Levine, David I, 1991. "Just-Cause Employment Policies in the Presence of Worker Adverse Selection," Journal of Labor Economics, University of Chicago Press, vol. 9(3), pages 294-305, July. [Downloadable!] (restricted)
  12. Jeremy I. Bulow & Lawrence H. Summers, 1986. "A Theory of Dual Labor Markets with Application to Industrial Policy, Discrimination and Keynesian Unemployment," NBER Working Papers 1666, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  13. Shulamit Kahn & Kevin Lang, 1987. "Constraints on the Choice of Work Hours: Agency vs. Specific-Capital," NBER Working Papers 2238, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  14. James B. Rebitzer & Lowell J. Taylor, 1991. "Work Incentives and the Demand for Primary and Contingent Labor," NBER Working Papers 3647, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  15. Levine, David I, 1989. "Just-Cause Employment Policies When Unemployment Is a Worker Discipline Device," American Economic Review, American Economic Association, vol. 79(4), pages 902-05, September. [Downloadable!] (restricted)
  16. Altonji, Joseph G & Paxson, Christina H, 1988. "Labor Supply Preferences, Hours Constraints, and Hours-Wage Trade-Offs," Journal of Labor Economics, University of Chicago Press, vol. 6(2), pages 254-76, April. [Downloadable!] (restricted)
    Other versions:
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Cowling, Marc, 2007. "Still At Work? An empirical test of competing theories of long hours culture," MPRA Paper 1614, University Library of Munich, Germany. [Downloadable!]
  2. Fredrik Andersson, 2002. "Technological Change,Labour Contracts and Income Distribution," Finnish Economic Papers, Finnish Economic Association, vol. 15(1), pages 24-35, Spring. [Downloadable!]
  3. David Campbell & Francis Green, 2002. "The Long Term Pay-Off From Working Longer Hours," Studies in Economics 0205, Department of Economics, University of Kent. [Downloadable!]
  4. Francis Green, 2000. "Why has Work Effort become more intense? Conjectures and Evidence about Effort-Biased Technical Change and other stories," Studies in Economics 0003, Department of Economics, University of Kent. [Downloadable!]
  5. Joseph G. Altonji & Emiko Usui, 2005. "Work Hours, Wages, and Vacation Leave," NBER Working Papers 11693, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  6. William T. Harbaugh & Anne van den Nouweland, 2002. "Demonstrating worker quality through strategic absenteeism," University of Oregon Economics Department Working Papers 2002-6, University of Oregon Economics Department, revised 14 Jun 2002. [Downloadable!]
    Other versions:
  7. Joseph G. Altonji & Jennifer Oldham, 2003. "Vacation laws and annual work hours," Economic Perspectives, Federal Reserve Bank of Chicago, issue Q III, pages 19-29. [Downloadable!]
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