Labor Supply and the Extensive Margin
AbstractIn this paper we propose a systematic way of examining the importance of the extensive and the intensive margins of labor supply in order to explain the overall movements in total hours of work over time. We show how informative bounds can be developed on each of these margins. We apply this analysis to the evolution of hours of work in the US, the UK, and France and show that both the extensive and intensive margins matter in explaining changes in total hours.
CitationBlundell, Richard, Antoine Bozio, and Guy Laroque. 2011. "Labor Supply and the Extensive Margin." American Economic Review, 101 (3): 482-86. DOI: 10.1257/aer.101.3.482
- J22 Time Allocation and Labor Supply