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Hours and Wages

Author

Listed:
  • Alexander Bick

    (Arizona State University)

  • Adam Blandin

    (Virginia Commonwealth University)

  • Richard Rogerson

    (Princeton University)

Abstract

This paper examines the potential effect of hours worked on wages, both contemporaneously and dynamically. We first present an array of evidence on the relationship between wages and usual weekly hours using both cross-section and panel data. In the cross-section we document how this relationship varies with age, gender and occupation. A robust finding is that the relationship between hours and wages differs across the hours worked distribution. We next explore the extent to which a benchmark structural model of labor supply can be used to infer the effect of hours on wages. Imposing functional forms on the nature of heterogeneity we find that we can identify the profile of effects of hours on wages up to a rotation.

Suggested Citation

  • Alexander Bick & Adam Blandin & Richard Rogerson, 2019. "Hours and Wages," 2019 Meeting Papers 261, Society for Economic Dynamics.
    • Handle: RePEc:red:sed019:261
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    Citations

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    Cited by:

    1. Etienne Lalé, 2025. "Search and multiple jobholding," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 80(3), pages 891-939, November.
    2. John Bailey Jones & Yue Li, 2023. "Social Security Reform with Heterogeneous Mortality," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 48, pages 320-344, April.
    3. Paula A. Calvo & Ilse Lindenlaub & Ana Reynoso, 2021. "Marriage Market and Labor Market Sorting," NBER Working Papers 28883, National Bureau of Economic Research, Inc.
    4. Iván Fernández‐Val & Aico van Vuuren & Francis Vella & Franco Peracchi, 2024. "Hours worked and the US distribution of real annual earnings 1976–2019," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 39(4), pages 659-678, June.
    5. Iván Fernández‐Val & Aico van Vuuren & Francis Vella & Franco Peracchi, 2024. "Hours worked and the US distribution of real annual earnings 1976–2019," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 39(4), pages 659-678, June.
    6. Titan Alon & Matthias Doepke & Jane Olmstead-Rumsey, 2020. "This Time It's Different: The Role of Women's Employment in a Pandemic Recession," Working Papers 2020-057, Human Capital and Economic Opportunity Working Group.
    7. Jeffrey T. Denning & Brian A. Jacob & Lars J. Lefgren & Christian vom Lehn, 2022. "The Return to Hours Worked within and across Occupations: Implications for the Gender Wage Gap," ILR Review, Cornell University, ILR School, vol. 75(5), pages 1321-1347, October.

    More about this item

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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