The Provision and Valuation of Non-wage Job Attributes
Friday, Jan. 5, 2018 2:30 PM - 4:30 PM
- Chair: Kevin Lang, Boston University
Hours Constraints, Occupational Choice, and Gender: Evidence From Medical Residents
AbstractAre the long, inflexible work hours required by many high-paying professions a barrier to entry for women? I explore this question by studying the introduction of a policy in 2003 that capped the average workweek for medical residents at 80 hours. Using data on the universe of U.S. medical school graduates from 1993 to 2010, I find that when a specialty reduces its weekly hours, more women enter the specialty, whereas there is little change in men’s entry. To shed light on why women and men respond differently to the reform, I analyze physicians’ family formation choices during residency. I link female resident physicians to administrative birth records from two large U.S. states and find that reducing a specialty’s weekly hours increases its female fertility rate in California, but has no effect in Texas. I discuss these results in the context of a model in which individuals choose work and family investments during their early careers, trading off long-term incomes, investments in children, and leisure.
Labor Supply and the Value of Nonwork Time: Experimental Estimates From the Field
AbstractThe flow value of nonwork time relative to a worker's marginal product (MVT) is a crucial parameter in many macroeconomic models, including search models that seek to explain wage dispersion and the business cycle volatility of unemployment and vacancies. However, there is limited direct measurement of this quantity. We use a field experiment to estimate this parameter. During the application process to staff a national call center and data entry positions we randomly offered applicants alternative hour and wage packages. Applicant choices over these packages yield estimates for the labor supply function, and the MVT.
Preference for the Workplace, Investment in Human Capital, and Gender
AbstractWe use a hypothetical choice methodology to estimate preferences for workplace attributes and quantify how much these preferences influence pre-labor market human capital investments. This method robustly identifies preferences for various job attributes, free from omitted variable bias and considering the equilibrium job match. Women on average have a higher willingness-to-pay (WTP) for jobs with greater work flexibility and job stability, and men have a higher WTP for jobs with higher earnings growth. These job preferences relate to college major choices and actual job choices, and explain as much as 25 percent of the gender wage gap.
- J3 - Wages, Compensation, and Labor Costs