Multiple job holding: the artist's labour supply approach
This article analyses a labour supply model in which individuals maximize a utility function that depends on leisure time, consumption and time devoted to an activity that is termed ‘artistic’. This activity may generate income that depends nonlinearly on hours dedicated to it. The individual can also work in the labour market (an activity that does not increase utility by itself) in exchange for an hourly wage, and obtain income not related to hours. Conditions are obtained that sort individuals into two groups, part-time and full-time artists, deriving their labour supply functions in both activities. The predictions of the model are tested empirically using a sample of musicians from a Uruguayan performing rights society. Increases in outside wages drive part-time artists out of the labour market, but no significant increase in arts hours is detected. Higher nonlabour income also reduces nonarts work time of part-time artists, but does not have a significant impact in their arts hours. Conversely, arts hours of full-time artists increase with nonlabour income.
Volume (Year): 44 (2012)
Issue (Month): 3 (January)
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