Search and Non-Wage Job Characteristics
This paper quantifies the importance of non-wage job characteristics to workers by estimating a structural on-the-job search model. The model generalizes the standard search framework by allowing workers to search for jobs based on both wages and job-specific non-wage utility flows. Within the structure of the search model, data on accepted wages and wage changes at job transitions identify the importance of non-wage utility through revealed preference. The parameters of the model are estimated by simulated minimum distance using the 1997 cohort of the National Longitudinal Survey of Youth (NLSY97). The estimates reveal that utility from non-wage job characteristics plays an important role in determining job mobility, the value of jobs to workers, and the gains from job search. More specifically, non-wage utility accounts for approximately one-third of the total gains from job mobility. These large non-pecuniary gains from search are missed by search models which assume that the wage captures the entire value of a job to a worker.
|Date of creation:||Sep 2011|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (202) 606-5900
Fax: (202) 606-7890
Web page: http://www.bls.gov
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Joseph G. Altonji & Christina H. Paxson, 1990.
"Labor Supply, Hours Constraints and Job Mobility,"
NBER Working Papers
3474, National Bureau of Economic Research, Inc.
- Shintaro Yamaguchi, 2006.
"Job Search, Bargaining, and Wage Dynamics,"
ISER Discussion Paper
0658, Institute of Social and Economic Research, Osaka University.
- Shintaro Yamaguchi, 2007. "Job Search, Bargaining, and Wage Dynamics," Department of Economics Working Papers 2007-03, McMaster University.
- Shintaro Yamaguchi, 2009. "Job Search, Bargaining, and Wage Dynamics," Global COE Hi-Stat Discussion Paper Series gd08-026, Institute of Economic Research, Hitotsubashi University.
- Shintaro Yamaguchi, 2006. "Job Search, Bargaining, and Wage Dynamics," 2006 Meeting Papers 54, Society for Economic Dynamics.
- Timothy J. Gronberg & W. Robert Reed, 1994. "Estimating Workers' Marginal Willingness to Pay for Job Attributes Using Duration Data," Journal of Human Resources, University of Wisconsin Press, vol. 29(3), pages 911-931.
- Hwang, Hae-shin & Reed, W Robert & Hubbard, Carlton, 1992. "Compensating Wage Differentials and Unobserved Productivity," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 835-58, August.
- Bhaskar, V & To, Ted, 1999.
"Minimum Wages for Ronald McDonald Monopsonies: A Theory of Monopsonistic Competition,"
Royal Economic Society, vol. 109(455), pages 190-203, April.
- V. Bhaskar & Ted To, 1996. "Minimum Wages for Ronald McDonald Monopsonies: A Theory of Monopsonistic Competition," Labor and Demography 9603001, EconWPA, revised 21 May 1996.
- Matthew Dey & Christopher Flinn, 2007.
"Household Search and Health Insurance Coverage,"
Carlo Alberto Notebooks
56, Collegio Carlo Alberto.
- Christopher J. Flinn, 2002.
"Labour Market Structure and Inequality: A Comparison of Italy and the U.S,"
Review of Economic Studies,
Oxford University Press, vol. 69(3), pages 611-645.
- Flinn, Christopher J, 2002. "Labour Market Structure and Inequality: A Comparison of Italy and the U.S," Review of Economic Studies, Wiley Blackwell, vol. 69(3), pages 611-45, July.
- StÈphane Bonhomme & GrÈgory Jolivet, 2009.
"The pervasive absence of compensating differentials,"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 24(5), pages 763-795.
- Stéphane Bonhomme & Grégory Jolivet, 2005. "The Pervasive Absence of Compensating Differentials," Working Papers 2005-28, Centre de Recherche en Economie et Statistique.
- Keane, Michael P & Wolpin, Kenneth I, 1997.
"The Career Decisions of Young Men,"
Journal of Political Economy,
University of Chicago Press, vol. 105(3), pages 473-522, June.
- Gorgens, Tue, 2002. "Reservation wages and working hours for recently unemployed US women," Labour Economics, Elsevier, vol. 9(1), pages 93-123, February.
- Jolivet, Gregory & Postel-Vinay, Fabien & Robin, Jean-Marc, 2006. "The empirical content of the job search model: Labor mobility and wage distributions in Europe and the US," European Economic Review, Elsevier, vol. 50(4), pages 877-907, May.
- Bloemen, H.G., 2002.
"Job search, hours restrictions and desired hours of work,"
Serie Research Memoranda
0038, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
- Hans G. Bloemen, 2008. "Job Search, Hours Restrictions, and Desired Hours of Work," Journal of Labor Economics, University of Chicago Press, vol. 26, pages 137-179.
- Alan Manning & Ted To, 2002. "Oligopsony and Monopsonistic Competition in Labor Markets," Journal of Economic Perspectives, American Economic Association, vol. 16(2), pages 155-174, Spring.
- Luca Flabbi and Andrea Moro, 2011.
"The Effect of Job Flexibility on Female Labor Market Outcomes: Estimates from a Search and Bargaining Model,"
gueconwpa~11-11-04, Georgetown University, Department of Economics.
- Flabbi, Luca & Moro, Andrea, 2012. "The effect of job flexibility on female labor market outcomes: Estimates from a search and bargaining model," Journal of Econometrics, Elsevier, vol. 168(1), pages 81-95.
- Flabbi, Luca & Moro, Andrea, 2010. "The Effect of Job Flexibility on Female Labor Market Outcomes: Estimates from a Search and Bargaining Model," IZA Discussion Papers 4829, Institute for the Study of Labor (IZA).
- Goffe, William L. & Ferrier, Gary D. & Rogers, John, 1994. "Global optimization of statistical functions with simulated annealing," Journal of Econometrics, Elsevier, vol. 60(1-2), pages 65-99.
- Paul Sullivan, 2010.
"A Dynamic Analysis Of Educational Attainment, Occupational Choices, And Job Search,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 51(1), pages 289-317, 02.
- Sullivan, Paul, 2007. "A Dynamic Analysis of Educational Attainment, Occupational Choices, and Job Search," MPRA Paper 4590, University Library of Munich, Germany.
- Sullivan, Paul, 2006. "A Dynamic Analysis of Educational Attainment, Occupational Choices, and Job Search," MPRA Paper 3896, University Library of Munich, Germany, revised Jun 2007.
- Sullivan, Paul, 2006. "A Dynamic Analysis of Educational Attainment, Occupational Choices, and Job Search," MPRA Paper 861, University Library of Munich, Germany.
- Matthew S. Dey & Christopher J. Flinn, 2005.
"An Equilibrium Model of Health Insurance Provision and Wage Determination,"
Econometric Society, vol. 73(2), pages 571-627, 03.
- Dey, M. S. & Flinn, C. J., 2000. "An Equilibrium Model of Health Insurance Provision and Wage Determination," Working Papers 00-18, C.V. Starr Center for Applied Economics, New York University.
- White, Michelle J., 1988. "Location choice and commuting behavior in cities with decentralized employment," Journal of Urban Economics, Elsevier, vol. 24(2), pages 129-152, September.
- Blau, David M, 1991. "Search for Nonwage Job Characteristics: A Test of the Reservation Wage Hypothesis," Journal of Labor Economics, University of Chicago Press, vol. 9(2), pages 186-205, April.
- Goddeeris, John H, 1988. "Compensating Differentials and Self-selection: An Application to Lawyers," Journal of Political Economy, University of Chicago Press, vol. 96(2), pages 411-28, April.
When requesting a correction, please mention this item's handle: RePEc:bls:wpaper:ec110070. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gregory Kurtzon)
If references are entirely missing, you can add them using this form.