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The impact of 9/11 on hours of work and labour force participation in the US

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  • Julie Hotchkiss
  • Olga Pavlova

Abstract

The purpose of this article is to use observed changes in hours of work and labour force participation to draw inferences regarding behavioural responses to the 9/11 terrorist attacks in the US. Using the Current Population Survey and controlling for differences in demographics, labour market conditions and a time-invariant unobserved individual fixed effect, we determine that for most sub-samples there was no change in labour force participation or in hours of work after 9/11 relative to before. Exceptions were women, who increased their labour force participation, and workers living in the proximity of one of the 9/11 events, who increased their hours of work. These results are consistent with a precautionary increase in labour supply during an uncertain time, and with others' documentation of women responding more dramatically to external stressors.

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  • Julie Hotchkiss & Olga Pavlova, 2009. "The impact of 9/11 on hours of work and labour force participation in the US," Applied Economics Letters, Taylor & Francis Journals, vol. 16(10), pages 999-1003.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:10:p:999-1003
    DOI: 10.1080/13504850701250252
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