Labor Supply in Brazil: an Analysis of the Second Job in the Urban and Rural Areas

The aim of this paper is to estimate the labor supply in the secondary market, given the socioeconomic characteristics of workers and job characteristics such as heterogeneity and stability. Therefore, data used is PNAD (2008). The population studied is workers with one or two jobs and the labor supply is estimated by a Tobit model. The results indicate that the time constraint, the heterogeneity in occupations and stability contribute to the increase in labor supply in the secondary job market in both urban and rural areas. Moreover, there is evidence that income from the main job is insufficient even for workers with more schooling.