Sen’s capability approach distinguishes between what people are free to do and to be (their ‘capabilities’) and what they do and who they are (their ‘functionings’). In the capability approach,individuals’ well-being is evaluated not only in terms of achieved functionings, but also...

We estimate a dynamic discrete choice model of Registered Nurses’ labor supply with random terms. A distinguished feature of our model is that random terms are correlated over time and jobs (habit persistence). Past options and not only the past optimal choices matter for the current choices....