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Search for Nonwage Job Characteristics: A Test of the Reservation Wage Hypothesis

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Blau, David M

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Abstract

Previous structural models of job search behavior have been based upon the reservation wage property. This article provides estimates of a more general search model that nests models with the reservation wage property. The estimates lead to rejection of the reservation wage property. The model includes hours of work in the utility function, but other nonwage job characteristics can be included as well. An experiment based on the estimated parameters indicates that a significant proportion of job offers would be mistakenly predicted to be accepted or rejected under the restrictions implied by the reservation wage property. Copyright 1991 by University of Chicago Press.

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Publisher Info
Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 9 (1991)
Issue (Month): 2 (April)
Pages: 186-205
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Handle: RePEc:ucp:jlabec:v:9:y:1991:i:2:p:186-205

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  1. Junankar, P. N. (Raja) & Mahuteau, Stéphane, 2004. "Do Migrants Get Good Jobs? New Migrant Settlement in Australia," IZA Discussion Papers 1434, Institute for the Study of Labor (IZA). [Downloadable!]
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  2. Paul Latreille & David H. Blackaby & Philip D. Murphy & Nigel O'Leary & Peter J. Sloane, 2006. "How Far and For How Much? Evidence on Wages and Potential Travel-to-Work Distances from a Survey of the Economically Inactive," IZA Discussion Papers 1976, Institute for the Study of Labor (IZA). [Downloadable!]
  3. Ponzo, Michela, 2009. "On-the-job Search in Italian Labour Markets: An Empirical Analysis," MPRA Paper 15476, University Library of Munich, Germany. [Downloadable!]
  4. Petri Böckerman & Pekka Ilmakunnas, 2005. "Job disamenities, job satisfaction, and on-the-job search: is there a nexus?," Labor and Demography 0501002, EconWPA. [Downloadable!]
  5. Ommeren, Jos van & Berg, Gerard J. van den & Gorter, Cees, 1998. "Estimating the marginal willingness to pay for commuting," Serie Research Memoranda 0046, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]
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  6. Böckerman, Petri & Ilmakunnas, Pekka, 2007. "Job disamenities, job satisfaction, quit intentions, and actual separations: putting the pieces together," MPRA Paper 3245, University Library of Munich, Germany. [Downloadable!]
  7. Jill Marie Gunderson & Julie L. Hotchkiss, 2004. "Job separation behavior of welfare recipients: results from a unique case study," Working Paper 2004-12, Federal Reserve Bank of Atlanta. [Downloadable!]
  8. Sullivan, Paul, 2006. "A Dynamic Analysis of Educational Attainment, Occupational Choices, and Job Search," MPRA Paper 3896, University Library of Munich, Germany, revised Jun 2007. [Downloadable!]
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  9. Prasad, Eswar S., 2003. "What Determines the Reservation Wages of Unemployed Workers? New Evidence from German Micro Data," IZA Discussion Papers 694, Institute for the Study of Labor (IZA). [Downloadable!]
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  10. Madhu Mohanty, 2005. "An alternative method of estimating the worker's reservation wage," International Economic Journal, Korean International Economic Association, vol. 19(4), pages 501-522, December. [Downloadable!] (restricted)
  11. Alan Manning & J Thomas, 1997. "A Simple Test of the Shirking Model," CEP Discussion Papers dp0374, Centre for Economic Performance, LSE. [Downloadable!]
  12. Gerard J. van den Berg, 1998. "Empirical Inference with Equilibrium Search Models of the Labor Market," Tinbergen Institute Discussion Papers 98-089/3, Tinbergen Institute. [Downloadable!]
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  13. Nicole Maestas & Xiaoyan Li, 2006. "Discouraged Workers? Job Search Outcomes of Older Workers," Working Papers wp133, University of Michigan, Michigan Retirement Research Center. [Downloadable!]
  14. Berg, G.J. van den & Gorter, C., 1996. "Job search and commuting time," Serie Research Memoranda 0001, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics. [Downloadable!]
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  15. Sridhar, Kala Seetharam, 2004. "Impact of the enterprise zone," Working Papers 04/19, National Institute of Public Finance and Policy. [Downloadable!]
  16. Donald R. Haurin & Kala S. Sridhar, 2003. "The impact of local unemployment rates on reservation wages and the duration of search for a job," Applied Economics, Taylor and Francis Journals, vol. 35(13), pages 1469-1476, September. [Downloadable!] (restricted)
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