We present identification and estimation results for the "collective" model of labour supply in which there are discrete choices, censoring of hours and nonparticipation in employment. We derive the collective restrictions on labour supply functions and contrast them with restrictions implied by...

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...

We show that a steeply increasing workload before a deadline is compatible with time-consistent preferences. The key departure from the literature is that we consider a stochastic environment where success of effort is not guaranteed.

We explore the implications of the generalised Alchian–Allen theorem for the labour-leisure-child-care decision of a mother with young children. In this framework we find: (i) For mothers who work only a few hours a week, a rise in wages arguably increases the demand for leisure relative to...

Substantial evidence suggests that savings behavior may depart from neoclassical optimization. This article examines the implications of raising the savings rate - whether through social security, retirement plans, or otherwise - for labor supply, where labor supply is determined by behavioral...

The paper aims to reconcile different explanations (and consequences) of the motivation crowding theory in a unique theoretical framework where the locus of control is introduced in a one period maximisation problem and the intrinsic motivation is assumed as an exogenous psychological attitude....

The past two decades have witnessed a growing interest in the humanistic approach to economics. In general, this has manifested itself in two ways, namely the development of humanistic models of behavior per se and secondly, in the form of addenda to the core utility model (CUM) such as...

We extend a standard taxable income model with its typical functional-form assumptions to account for nonlinear budget sets. We propose a new method to estimate a taxable income elasticity that is more policy relevant than the typically estimated elasticity based on linearized budget sets. Using...

This paper aims to shed light on the determinants of household labor supply in Georgia by conducting comparative study and by applying the collective labor supply model. On the basis of data from Generations and Gender Survey (GGS) we tested parametric restrictions imposed by two alternative...