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The labor supply of West German married and cohabiting couples is analyzed using a discrete choice model. Following van Soest (1995), the labor supply decision is based on a household utility function which is determined by the leisure of the two spouses and net household income. Furthermore,...
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Total employment in Germany is supposed to increase if people could realize their desired working hours. However, this … additional work-sharing in Germany. Furthermore, the match between actual and desired hours of Germans would improve if Germans … that hours restrictions shrank over time, which means, Germany seems to be moving towards a more flexible labor market. …
Persistent link: https://www.econbiz.de/10011445026
We compare two options of integrating discrete working time choice of heterogenous households into a general equilibrium model. The first, known from the literature, produces household heterogeneity through a working time preference parameter. We contrast this with a model that directly...
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