We examine theoretically and empirically social interactions in labor markets and how policy prescriptions can change dramatically when there are social interactions present. Spillover effects increase labor supply and conformity effects make labor supply perfectly inelastic at a reference group...

Our econometric research allows for a possible response of a person's hours worked to hours typically worked by members of a multidimensional labor market reference group that considers demographics and geographic location. Instrumental variables estimates of the canonical labor supply model...

The chapter examines how the various dimensions of economic inequality between men and women are analyzed today. Beyond the gender wage gap—a central issue—and of course the still far from equal sharing of housework, the chapter also reviews research on gender inequality in access to...

We test potential social costs of educational inequality by analysing the influence of spatial and social segregation on educational achievements. In particular, based on recent PISA data sets from the UK and Germany, we investigate whether good neighbourhoods with a relatively high stock of...

We quantify the importance of precautionary labor supply using data from the German Socio-Economic Panel (SOEP) for 2001-2012. We estimate dynamic labor supply equations augmented with a measure of wage risk. Our results show that married men choose about 2.5% of their hours of work or one week...

This paper analyses the role of job changes in overcoming work hour constraints and the work hour mismatches resulting from these constraints (i.e., differences between actual and desired work hours). Building on previous findings that job change increases the flexibility of actual work hours,...

This paper analyzes the influence of children's health and mothers' physical and mental wellbeing on female labor force participation after childbirth in Germany. Our analysis uses data from the German Socio-Economic Panel (SOEP) study, which enables us to measure children's health based on the...

We examine the effect of commuting on labour supply patterns. A labour supply model is introduced which shows that commuting distance increases daily workhours, whereas the effect on total labour supply is ambiguous. This paper addresses these issues empirically using the socio-economic panel...

In 1999, in Germany, the statutory sick pay level was increased from 80 to 100 percent of foregone earnings for sicknessepisodes of up to six weeks. We show that this reform has led to an increase in average absence days of about 10 percent or one additional day per employee, per year. The...

This study is the first to estimate mothers' marginal willingness to pay (MWP) for job amenities directly. Its identification strategy relies on German maternity leave length. The key aspect of the maternal leave framework is that mothers can decide whether and when to return to their guaranteed...