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Work Hours and Amenity Trade-Offs

Author

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  • César Garro- Marín
  • Neil Thakral
  • Linh T. Tô

Abstract

We present a compensating wage differentials model that incorporates complementarity and substitutability in firms' provision of amenities and workers' preferences for them. These interactions help explain why some amenities tend to be bundled, while others are more often traded off. Our empirical analysis examines amenity substitution in the US labor market using data from the National Longitudinal Survey of Youth 1997 cohort. We highlight how shorter or more flexible total work hours are traded off with other workplace amenities. Our findings suggest that women may need to forgo amenities they value to secure shorter, more flexible work hours.

Suggested Citation

  • César Garro- Marín & Neil Thakral & Linh T. Tô, 2025. "Work Hours and Amenity Trade-Offs," AEA Papers and Proceedings, American Economic Association, vol. 115, pages 282-286, May.
    • Handle: RePEc:aea:apandp:v:115:y:2025:p:282-86
    DOI: 10.1257/pandp.20251031
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    References listed on IDEAS

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    1. Flabbi, Luca & Moro, Andrea, 2012. "The effect of job flexibility on female labor market outcomes: Estimates from a search and bargaining model," Journal of Econometrics, Elsevier, vol. 168(1), pages 81-95.
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    More about this item

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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