Three measures of the value of time - willingness to pay (WTP) for a reduction in travel time, willingness to accept (WTA) a monetary compensation to forgo it, and the wage rate - are evaluated and compared. WTP and WTA were estimated from the two-part regressions of time price, using contingent valuation methods with primary survey data. Systematic differences are found in comparisons of WTP a...

as the analytical framework. Despite the many estimates presented in the literature, there is little agreement on a point estimate of the gross effect of the wage rate on weekly hours of work, except that it is generally negative (i.e., the income effect dominates).2 The fact that the wage elasticity is negative has been used to explain the secular decline of hours of work and is important in c...

This paper explores individual motives for volunteering: The analysis is based on the interpretation of volunteering as a consumption good (consumption model) or as a mean to increase individual’s own human capital (investment model). We present an econometric framework taking into account self selection into volunteering and simultaneity between the volunteering decision and the determination ...

We explore the impact of labour turnover on firm performance by analysing the predictions of an extension of the efficiency wage model of Salop (1979) developed by Garino and Martin (2007), which separates incumbent and newly hired workers in the production function. Within this theoretical framework, an exogenous increase in the turnover rate can increase profits if firms do not choose wages u...

COMPETING EXPLANATIONS OF MALE INTERRACIAL WAGE DIFFERENTIALS: MISSING VARIABLE MODELS VERSUS JOB COMPETITION Persistent interracial wage differentials present a challenge for neoclassical models of discrimination, which claim that long run competition is not consistent with persistent discrimination. Accordingly, several missing variable explanations are proposed in the literature. These modif...

The discount rate is a key determinant of investments in human capital and occupational choice. Individuals who are less future oriented – i.e. have a higher discount rate – are less likely to invest in human capital and hence more likely to select into careers with lower and flatter earnings profiles. Since an individual’s discount rate is unobservable, we use smoking behavior as a proxy to st...

The discount rate is a key determinant of investments in human capital and occupational choice. Individuals who are less future oriented – i.e. have a higher discount rate – are less likely to invest in human capital and hence more likely to select into careers with lower and flatter earnings profiles. Since an individual’s discount rate is unobservable, we use smoking behavior as a proxy to st...

This paper studies a job search model. Wage offers arrive in a Poisson fashion from a known distribution. Absent the option to quit, or in a stationary world, it is well-known that the reservation wage for an impatient worker is the flow return on the asset ‘being unemployed’. I assume: (1) the worker may hold a job at his leisure, quitting at will; and (2) the wage distribution evolves determi...