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Working Long Hours and Early Career Outcomes in the High-End Labor Market

  • Gicheva, Dora

    ()

    (University of North Carolina at Greensboro, Department of Economics)

This study establishes empirically a nonlinear relationship between hours worked per week and hourly wage growth: for workers who put in 48 hours per week or more, working 5 extra hours per week increases annual wage growth by about 1 percent. The average effect is zero when hours are below 48. This relationship is especially strong for young professional workers. I provide evidence in support of a model of promotions that combines higher skill-sensitivity of output in upper levels of the job ladder with worker heterogeneity. The results can be used to account for part of the gender wage gap.

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Paper provided by University of North Carolina at Greensboro, Department of Economics in its series Working Papers with number 10-3.

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Length: 66 pages
Date of creation: 26 Aug 2010
Date of revision:
Handle: RePEc:ris:uncgec:2010_003
Contact details of provider: Postal: Box 26165, Greensboro, NC 27402-6165
Phone: (336) 334-5463
Fax: (336) 334-4089
Web page: http://www.uncg.edu/bae/econ/
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  1. Rebitzer, James B & Taylor, Lowell J, 1995. "Do Labor Markets Provide Enough Short-Hour Jobs? An Analysis of Work Hours and Work Incentives," Economic Inquiry, Western Economic Association International, vol. 33(2), pages 257-73, April.
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  16. Gary Charness & Peter Kuhn, 2007. "Does Pay Inequality Affect Worker Effort? Experimental Evidence," Journal of Labor Economics, University of Chicago Press, vol. 25, pages 693-723.
  17. Robinson, Peter M, 1988. "Root- N-Consistent Semiparametric Regression," Econometrica, Econometric Society, vol. 56(4), pages 931-54, July.
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  28. George J. Borjas, 1980. "The Relationship between Wages and Weekly Hours of Work: The Role of Division Bias," Journal of Human Resources, University of Wisconsin Press, vol. 15(3), pages 409-423.
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