Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/148273 
Year of Publication: 
2016
Citation: 
[Journal:] Ekonomia [ISSN:] 0137-3056 [Volume:] 47 [Publisher:] University of Warsaw [Place:] Warsaw [Year:] 2016 [Pages:] 123-133
Publisher: 
University of Warsaw, Warsaw
Abstract: 
This paper explores the problem of non-convex labor supply decisions in an economy with both private and public sector jobs. To this end, Hansen (1985) and Rogerson's (1988) indivisible-hours framework is extended to an environment featuring a double discrete labor choice. The novelty of the study is that the micro-founded representation obtained from explicit aggregation over homogeneous individuals features different disutility of labor across the two sectors, which is in line with the observed difference in average wage rates (OECD 2011). This theory-based utility function could be then utilized to study labor supply responses over the business cycle.
Subjects: 
indivisible labor
public employment
aggregation
elasticity of labor supply
JEL: 
J22
J30
J45
Published Version’s DOI: 
Additional Information: 
Accepted for publication, forthcoming.
Document Type: 
Article
Document Version: 
Accepted Manuscript (Postprint)
Appears in Collections:

Files in This Item:
File
Size
293.84 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.