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Job Search, Hours Restrictions, and Desired Hours of Work

  • Hans G. Bloemen

A structural empirical job search model is presented that incorporates the labor supply decision of individuals. The arrival of a job offer is modeled as a random draw from a wage-hours offer distribution. Subjective information is used on desired working hours to identify optimal hours from offered hours. Policy simulations are performed to address several policy questions: Does a decrease in unemployment benefits lead to the acceptance of jobs with less preferred working hours? How does a decrease in the length of the standard working week affect the job acceptance behavior of the unemployed?

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File URL: http://dx.doi.org/10.1086/522069
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Article provided by University of Chicago Press in its journal Journal of Labor Economics.

Volume (Year): 26 (2008)
Issue (Month): ()
Pages: 137-179

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Handle: RePEc:ucp:jlabec:v:26:y:2008:p:137-179
Contact details of provider: Web page: http://www.journals.uchicago.edu/JOLE/

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  1. Bloemen, H.G., 1992. "Job search theory, labour supply and unemployment duration," Discussion Paper 1992-50, Tilburg University, Center for Economic Research.
  2. Bloemen, Hans G., 2000. "A model of labour supply with job offer restrictions," Labour Economics, Elsevier, vol. 7(3), pages 297-312, May.
  3. Heckman, James J, 1974. "Shadow Prices, Market Wages, and Labor Supply," Econometrica, Econometric Society, vol. 42(4), pages 679-94, July.
  4. Borsch-Supan, Axel & Hajivassiliou, Vassilis A., 1993. "Smooth unbiased multivariate probability simulators for maximum likelihood estimation of limited dependent variable models," Journal of Econometrics, Elsevier, vol. 58(3), pages 347-368, August.
  5. William T. Dickens & Shelly J. Lundberg, 1985. "Hours Restrictions and Labor Supply," NBER Working Papers 1638, National Bureau of Economic Research, Inc.
  6. John C. Ham, 1982. "Estimation of a Labour Supply Model with Censoring Due to Unemployment and Underemployment," Review of Economic Studies, Oxford University Press, vol. 49(3), pages 335-354.
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