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Behavioural labour economics

In: Handbook of Research Methods in Behavioural Economics

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  • Morris Altman

Abstract

This chapter presents complementary methodologies to contemporary economic theory which focuses on price and income as determinants of labour supply. An alternative model is presented based on the realistic assumption that labour supply is affected by target income and, relatedly, to target non-market time (child care, other family responsibilities), as well as the utility that individuals gain from market work unlike in conventional economics where leisure is a superior good. Attention is also paid to information asymmetries, limited information processing capabilities as well and job search constraints and social norms as core determinants of labour supply. These have significant implications for analysis and policy.

Suggested Citation

  • Morris Altman, 2023. "Behavioural labour economics," Chapters, in: Morris Altman (ed.), Handbook of Research Methods in Behavioural Economics, chapter 9, pages 153-171, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:19806_9
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    Keywords

    Economics and Finance; Research Methods;

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