Nber Working Paper Series Labor Supply Elasticities: Overcoming Nonclassical Measurement Error Using More Accurate Hours Data
نویسندگان
چکیده
We measure the impact of measurement error in labor-supply elasticities estimated over recalled usual work hours, as is ubiquitous in the literature. Employing hours of work in diaries collected by the American Time Use Survey, 2003-12, along with the same respondents’ recalled usual hours, we show that the latter yield elasticities that are positively biased. We argue that this bias arises from the salience on recalled hours of differences in wage rates. Garry Barrett University of Sydney NSW 2006 Australia [email protected] Daniel S. Hamermesh Department of Economics Royal Holloway University of London Egham, TW20 0EX UNITED KINGDOM and NBER [email protected]
منابع مشابه
Labor Supply Elasticities: Overcoming Nonclassical Measurement Error Using More Accurate Hours Data
We measure the impact of measurement error in labor-supply elasticities estimated over recalled usual work hours, as is ubiquitous in the literature. We employ data on hours of work in diaries collected by the American Time Use Survey, 2003-15, along with the same respondents’ recalled usual work hours. Estimates using the latter yield elasticities that are positively biased. We argue that this...
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