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How many pears would a pear packer pack if a pear packer could pack pears at quasi-exogenously varying piece rates?

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  • Chang, Tom
  • Gross, Tal

Abstract

We examine labor supply using a unique dataset collected from a large pear-packing factory. Pear packers face both expected and unexpected shocks to their wages, and we use this to evaluate different models of inter-temporal labor supply. We find strong evidence for reference-dependent preferences, but only mixed support for models of rational-expectations-based targets.

Suggested Citation

  • Chang, Tom & Gross, Tal, 2014. "How many pears would a pear packer pack if a pear packer could pack pears at quasi-exogenously varying piece rates?," Journal of Economic Behavior & Organization, Elsevier, vol. 99(C), pages 1-17.
  • Handle: RePEc:eee:jeborg:v:99:y:2014:i:c:p:1-17
    DOI: 10.1016/j.jebo.2013.11.001
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    References listed on IDEAS

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    Cited by:

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    2. Brodeur, Abel & Nield, Kerry, 2018. "An empirical analysis of taxi, Lyft and Uber rides: Evidence from weather shocks in NYC," Journal of Economic Behavior & Organization, Elsevier, vol. 152(C), pages 1-16.
    3. Guiteras, Raymond P. & Jack, B. Kelsey, 2018. "Productivity in piece-rate labor markets: Evidence from rural Malawi," Journal of Development Economics, Elsevier, vol. 131(C), pages 42-61.
    4. Nguyen, Ha Trong & Duncan, Alan S, 2017. "Exchange rate fluctuations and immigrants' labour market outcomes: New evidence from Australian household panel data," Journal of International Economics, Elsevier, vol. 105(C), pages 174-186.
    5. Jose Rojas-Fallas & J. Forrest Williams, 2020. "Wage Differences Matter: An Experiment of Social Comparison and Effort Provision when Wages Increase or Decrease," Games, MDPI, Open Access Journal, vol. 11(4), pages 1-12, December.
    6. Henry S. Farber, 2014. "Why You Can't Find a Taxi in the Rain and Other Labor Supply Lessons from Cab Drivers," Working Papers 583a, Princeton University, Department of Economics, Industrial Relations Section..
    7. Hammarlund, Cecilia, 2018. "A trip to reach the target? – The labor supply of Swedish Baltic cod fishermen," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 75(C), pages 1-11.
    8. Timothy J. Richards, 2020. "Income Targeting and Farm Labor Supply," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(2), pages 419-438, March.
    9. Lollo, Niklas & O’Rourke, Dara, 2018. "Productivity, Profits, and Pay: A Field Experiment Analyzing the Impacts of Compensation Systems in an Apparel Factory," Institute for Research on Labor and Employment, Working Paper Series qt31c4j2hz, Institute of Industrial Relations, UC Berkeley.
    10. Dupas, Pascaline & Robinson, Jonathan & Saavedra, Santiago, 2020. "The daily grind: Cash needs and labor supply," Journal of Economic Behavior & Organization, Elsevier, vol. 177(C), pages 399-414.

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