Bick, Alexander; Fuchs-Schündeln, Nicola; Lagakos, David; … - 2020
of labor supply by heterogeneous individuals and calibrate it to match international data on labor income taxation …, government transfers relative to GDP, and hours worked per adult. The model predicts that income effects are the main driving … force behind the decline of average hours worked with GDP per capita. We reach a similar conclusion in an extended model …