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Explaining age and gender differences in employment rates : a labor supply side perspective

  • Humpert, Stephan
  • Pfeifer, Christian

"This paper takes a labor supply perspective (neoclassical labor supply, job search) to explain the lower employment rates of older workers and women. The basic rationale is that workers choose non-employment if their reservation wages are larger than the offered wages. Whereas the latter depend on workers' productivity and firms' decisions, reservation wages are largely determined by workers' endowments and preferences for leisure. To shed some empirical light on this issue, we use German survey data to analyze age and gender differences in reservation and entry wages, preferred and actual working hours, and satisfaction with leisure and work." (Author's abstract, IAB-Doku) ((en))

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File URL: http://dx.doi.org/10.1007/s12651-012-0108-8
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Article provided by Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany] in its journal Journal for Labour Market Research.

Volume (Year): 46 (2013)
Issue (Month): 1 ()
Pages: 1-17

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Handle: RePEc:iab:iabjlr:v:2013:i:1:p:1-17
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  12. Brown, Sarah & Roberts, Jennifer & Taylor, Karl, 2011. "The Gender Reservation Wage Gap: Evidence form British Panel Data," IZA Discussion Papers 5457, Institute for the Study of Labor (IZA).
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  26. Pannenberg, Markus, 2010. "Risk attitudes and reservation wages of unemployed workers: Evidence from panel data," Economics Letters, Elsevier, vol. 106(3), pages 223-226, March.
  27. Enswar Prasad, 2001. "The Dynamics of Reservation Wages: Preliminary Evidence from the GSOEP," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 70(1), pages 44-50.
  28. Heckman, James J, 1974. "Life Cycle Consumption and Labor Supply: An Explanation of the Relationship Between Income and Consumption Over the Life Cycle," American Economic Review, American Economic Association, vol. 64(1), pages 188-94, March.
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