Blundell, Richard; MaCurdy, Thomas; Meghir, Costas - In: Handbook of econometrics : volume 6A, (pp. 4667-4775). 2007
This chapter is concerned with the identification and estimation of models of labor supply. The focus is on the key issues that arise from unobserved heterogeneity, nonparticipation and dynamics. We examine the simple “static” labor supply model with proportional taxes and highlight the...