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The Payoff to Work without Pay: Volunteer Work as an Investment in Human Capital

Author

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  • Day, K.M.
  • Devlin, R.A.

Abstract

Despite the widespread belief that volunteer work enhances an individual's employment prospects, the hypothesis that volunteer work increases one's earnings has never been empirically verified. Using a recent Canadian data set, the authors test this hypothesis by estimating human capital earnings equations that include dummy variables representing to distinguish volunteers from nonvolunteers. The results suggest that the return to volunteering amounts to 6-7 percent of annual earnings.
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Suggested Citation

  • Day, K.M. & Devlin, R.A., 1993. "The Payoff to Work without Pay: Volunteer Work as an Investment in Human Capital," Working Papers 9310e, University of Ottawa, Department of Economics.
  • Handle: RePEc:ott:wpaper:9310e
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    Keywords

    human resources ; volunteers;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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