collective labor supply a single equation model and some evidence from french data in chiappori s 1988 collective model of labor supply hours of work are supposed flexible in many countries however male labor supply does not vary much in that case the husband s labor supply is no longer informative about the household decision process and individual preferences to identify structural components of the model additional information is needed we thus consider an approach in which the wife s labor supply is expressed as a function of the household demand for one specific good we demonstrate that the main properties of chiappori s initial model are preserved and apply our results on french data

caught in the trap welfare s disincentive and the labor supply of single men abstract youth unemployment is particularly large in many industrialized countries and has dramatic consequences in both the short and long term while there is abundant evidence about the labor supply of married women and single mothers little is known about how young childless singles react to financial incentives the french minimum income revenu minimum d insertion rmi often accused of generating strong disincentives to work offers a natural setting to study this question since childless single individuals primarily males constitute the core group of recipients exploiting the fact that childless adults under age 25 are not eligible for this program we conduct a regression discontinuity analysis using french census data we find that the rmi reduces the participation of uneducated single men by 7 10 at age 25 we conduct an extensive robustness check and discuss the implications of our results for youth unemployment and current policy developments

labour supply estimation and public policy abstract economists devote considerable energies towards refining their econometric techniques to overcome difficulties connected with conducting empirical research despite advances in technique it is not clear whether further refinement in this direction is worthwhile for policy purposes it may be that no further amount of statistical adjustment of inadequate data will increase understanding and that better data is simply necessary to add to our knowledge but rarely is sufficient credit paid to new forms of data in short econometric technique is emphasized to the neglect of data innovation as if new data were merely lying about waiting for an ingenious suggestion for use this paper surveys advances of the last twenty five years in estimating labour supply for policy purposes with a view towards appreciating the relative contribution of both improvements in econometric technique as well as developments of new data after briefly detailing the key parameters which economists have sought to estimate we describe the early first generation research circa 1970 which is plagued by problems of unobservable variables measurement errors truncation and selectivity bias and non linear budget constraints second generation research constitute attempts to resolve one or more of these difficulties and the respective contribution of econometric technique and new data is acknowledged and assessed including the contribution of data generated by large scale social experiments in which participants are randomly assigned to different guaranteed income plans and their labour supply behaviour measured

labor supply deadweight loss and tax reform act of 1986 a nonparametric evaluation using panel data abstract tax reform act of 1986 tra 1986 has provided an invaluable source of variation in tax rates to study the effects of tax reforms on labor supply in the us most existing studies exploiting variation generated by tra 1986 have used cross sectional variation in tax rates or assumed a linear labor supply function or have not couched their analysis in a nonlinear budget set framework this paper uses the drastic variation in the budget set induced by tra 1986 as a source of identification and combines two novel approaches to estimate behavioral effects of tax reforms i first use nonparametric estimation methods with nonlinear budget sets blomquist soren newey w 2002 nonparametric estimation with nonlinear budget sets econometrica 70 6 2455 2480 to estimate a labor supply function using waves of psid just before and after tra 1986 nonparametric method developed in hausman and newey hausman j whitney newey 1995 nonparametric measurement of exact consumer s surplus and deadweight loss econometrica 63 1145 76 is then applied to estimate the deadweight loss from tra 1986 the nonparametric estimate of the compensated wage elasticity is 0 22 i find that tra 1986 had a small but positive effect on labor supply of men of about 2 at the sample mean tra 1986 was associated with robust reduction in deadweight loss from the pre tra 1986 level and this reduction is positively correlated with income and wages

assessing empirical approaches for analyzing taxes and labor supply recent surveys on the labor supply responses of men document a divergence in the estimates of substitution and income effects obtained using various estimation approaches generally studies accounting for nonlinear tax schedules in a static setting via a piecewise linear approach produce estimates that typically imply higher substitution and lower income responses than are suggested by empirical work applying other approaches this paper demonstrates that maximum likelihood estimation of a consumer choice problem with nonlinear budget sets implicitly relies on the satisfaction of inequality constraints that translate into behaviorally meaningful restrictions these constraints arise not as a consequence of economic theory but instead as a requirement to create a properly defined statistical model in the analysis of piecewise linear budget sets the implicit constraints required by maximum likelihood in estimation amount to imposition of slutsky conditions at all wage income combinations associated with kink points in the analysis of differentiable budget sets the tacit constraints invoked by maximum likelihood also involve inequality restrictions on slutsky terms the empirical work presented in this study supports the contention that these implicit constraints play a major role in explaining the discrepancies in estimates found in the literature on men s labor supply

collective female labour supply theory and application this article deals with female labour supply in the collective framework it studies married couples and starting from the empirical observation that the husband s labour supply is generally fixed at full time it shows that in this case structural elements of the decision process such as individual preferences or the rule that determines the intra household distribution of welfare can be identified if household demand for at least one commodity together with the wife s labour supply is observed these theoretical considerations are followed by an application using french data

nonparametric estimation of the impact of taxes on female labor supply this paper proposes a simple extension of nonparametric estimation methods for nonlinear budget set models derived in blomquist and newey 2002 to censored dependent variables the nonparametric method is applied to estimate female labor supply elasticities using data on married women from the 1985 and 1989 waves of the panel study of income dynamics exploiting the substantial variation in budget sets caused by the tax reform act of 1986 as a source of identification the estimated wage elasticities from this new method are 0 56 overall and 0 27 on the intensive margin the income elasticity estimates are close to 0 67 overall and 0 13 on the intensive margin compared with the linear labor supply model the estimated elasticities are usually larger for the nonparametric specifications that account for nonlinear budget sets copyright 2010 john wiley sons ltd

sampling variability some observations from a labour supply equation in economics the number of observations available for empirical work is often predetermined researchers assume some large sample distribution and carry through with measurement and testing applied to data sets of varying sizes the consequences of sampling variability are generally ignored it is shown in a re sampling experiment using data sets of different sizes and estimating log linear male labour supply equations that a wide range of what appears to be statistically supported estimates of the wage elasticity of labour supply are generated testing based on bootstrapped estimates shows that 4000 observations are required to reduce sampling variability to statistically acceptable levels

the estimation of a joint wage hours labor supply model in this paper the standard cross sectional static model of labor supply is modified to make the wage endogenous and a joint wage hours model is estimated the econometric technique addresses the non linearity of the budget constraint by approximating the constraint by a series of discrete points the results show that the budget constraint is indeed nonlinear that hours affect the wage quadratically that true wage elasticities are lower as a result and that the model fits the hours distribution much better than the standard tobit model

the effect of income taxation on the labor supply of married men in sweden abstract this paper presents labor supply functions estimated on a sample of prime age swedish males the model used takes account of the nonlinear character of individuals budget sets caused by the progressive income tax it also allows preferences to vary between individuals calculations with the estimated functions using a partial equilibrium framework indicate a sizeable effect of the income tax on hours of work the average expected deadweight loss of the income tax is found to be approximately 20 percent of tax revenue

a life cycle consistent empirical model of family labour supply using cross section data this paper estimates a utility maximising model of the joint determination of male and female labour supplies using a sample of married couples from the u k family expenditure survey the emphasis is on the estimation of within period preferences that are consistent with intertemporal two stage budgeting under uncertainty however the approach we adopt provides an alternative method of estimating certain aspects of life cycle behaviour to the fixed effects constant approach of heckman and macurdy 1980 macurdy 1981 and browning deaton and irish 1985 moreover it relaxes some of the underlying restrictions that are implicit in these constant models under uncertainty

labour supply tax evasion and the marginal cost of public funds an empirical investigation abstract in this paper we extend the concept of marginal cost of public funds itmcf to incorporate tax evasion in the labour market mcf values are also computed from various tax reforms applied to the province of quebec canada 1985 for this purpose a utility based labour supply model that allows for both regular and irregular work activities is used at the benchmark situation the mcf associated with an increase in marginal income tax rates ranges between 1 39 and 1 53 depending upon whether we consider rationing or not moreover the presence of the irregular sector accounts for between 0 02 and 0 05 of this mcf although small in magnitude the impact of the irregular sector increases rapidly with the level of marginal tax rates

using data envelopment analysis for estimating energy saving and undesirable output abatement a case study in the organization for economic co operation and development oecd countries abstract environmental protection is one of the main concerns of the international community countries show meticulous attention to environmental issues by considering eco efficiency the eco efficiency evaluation of countries is a complex and multidisciplinary topic data envelopment analysis has widely been applied to measure the eco efficiency of organization for economic co operation and development countries in previous studies energy inputs have not been contemplated the subject becomes more important when there are non discretionary factors in this paper the eco efficiency of countries in the organization for economic co operation and development is assessed given energy inputs undesirable outputs and non discretionary factors to this end slack based and range adjusted measures are extended also new environmental indices are introduced the relationship between consumption of energy inputs and production of undesirable outputs can be addressed by two new environmental indices spearman correlation test indicates a direct and positive relationship between potential of energy saving and potential of undesirable output abatement france germany luxemburg norway sweden and the united kingdom are recognized as eco efficient countries south korea and italy have the highest and lowest potential for energy saving respectively poland and iceland are countries with the highest and lowest potential for undesirable output abatement respectively it can be concluded that countries producing high undesirable outputs may not operate eco efficiently and thus have an extreme potential to save the optimum energy moreover countries consuming low energy may operate eco efficiently and have a low potential to reduce undesirable outputs

food riots and protest agrarian modernizations and structural crises summary food riots in the developing world have re gained momentum coinciding with converging financial food and global energy crises of 2007 08 high staple food prices across the world and increasingly un regulated food markets have highlighted among other things the political dimensions of food related protests this has been the case especially in the mena region but also in sub saharan africa east asia and latin america where food related protests have often been catalysts to contest wider processes of dissatisfaction with authoritarian and corrupt regimes after many years of silence food related struggles have begun to receive more attention in the academic literature this has mostly been in the context of emerging debates on land grabbing food security sovereignty and social movements yet there have been few attempts to provide a systematic enquiry of existing analytical perspectives and debates or a clear assessment of what some of the political and economic implications may be for what now seem to be persistent food protests and social struggles this article tries to fill this gap by mapping and reviewing the existing and emerging literature on urban and rural food related protests it also explores theories and methodologies that have shaped debate by locating these in an alternative world historical analysis of political economy the article includes but also goes beyond a critical review of the following authors and their important contribution to ongoing debate farshad araghi henry bernstein henrietta friedmann and philip mcmichael jason moore vandana shiva the world bank and fao publications and recent special issues of review journal of agrarian change and journal of peasant studies

interdependent behavior and the effect of taxes abstract the paper studies the effect of taxes on labor supply in a model with interdependent behavior i e individuals preferences depend on other people s behavior it is found that not taking the interdependency into account can lead to a serious bias in the predicted effects of a tax change it is also shown that interdependent behavior can give rise to spikes in the hours distribution such spikes often have been attributed to quantity constraints

family labor supply with taxes over the period 1960 1983 the proportion of federal tax revenue raised by taxation of labor supply has risen from 57 77 percent in this paper we specify and estimate a model of family labor supply which treats both federal and state taxation husbands and wives labor supply are treated jointly rather than in aseparate manner as in previous research a method to calculate the virtual wage for nonworking spouses is used within a utility maximizing framework to treat correctly the joint family labor supply decision joint family efforts are found to be important the efficiency cost deadweight loss of labor taxation is estimated to be 29 6 of tax revenue raised the effect of the new 10 deduction to ease the marriage tax for working spouses leads to a prediction of 3 8 increase in wives labor supply and a 9 decrease in husbands labor supply overall taxes paid are predicted to decrease by 3 4 this abstract was borrowed from another version of this item

structural estimation of family labor supply with taxes estimating a continuous hours model using a direct utility specification this paper proposes a new method for estimating family labor supply in the presence of taxes this method accounts for continuous hours choices measurement error unobserved heterogeneity in tastes for work the nonlinear form of the tax code and fixed costs of work in one comprehensive specification estimated on data from the 2001 psid the resulting elasticities for married males are consistent with those found elsewhere in the literature but female wage elasticities are substantially smaller than those found in most of the literature simulations of recent tax acts predict small effects on the labor supply of married couples

labor supply and taxation in france this paper provides sequential labor supply estimates for french married men and women under specifications analogous to those used by hausman to account for the effects of taxation upon the budget constraint results suggest that even though labor force participation follows the expected pattern work hours are quite rigid most of the variation in the latter being attributed to measurement errors the second part of the paper concentrates on the simultaneous estimation of male and female labor supply conditional maximum likelihood techniques are shown to permit the separate estimation of work hours for both spouses with an appropriate set of instruments aimed at correcting for the biases arising from simultaneity selectivity and the nonlinearity of the budget constraint although consistent the resulting estimates apparently contradict the usual rationality restrictions on family labor supply behavior and seem to confirm the lack of flexibility in work hours

nonparametric panel estimation of labor supply in this article we estimate structural labor supply with piecewise linear budgets and nonseparable endogenous unobserved heterogeneity we propose a two stage method to address the endogeneity iss

an exogeneity test for a simultaneous equation tobit model with an application to labor supply a test of weak exogeneity in the simultaneous equation tobit model is proposed and illustrated using a female labour supply model estimated using cross section data the test statistic can be simply output from any standard tobit maximum likelihood package and is asymptotically efficient the procedure provides consistent estimators for the simultaneous tobit model whose asymptotic covariance matrix is a simple extension of the usual tobit formula we also provide the lagrange multiplier test of weak exogeneity this abstract was borrowed from another version of this item

evaluating the impact of the french tax credit on the employment rate of women abstract this paper investigates the employment impact of a new tax credit programme that was put in place in france in 2001 according to the theoretical labour supply model tax credits will have a positive effect on individual labour market participation as they increase the rewards from work however tax credits may discourage married women s participation mainly due to income effects we analyse the introduction of the french measure by adopting a non experimental evaluation method various treatment and control groups are defined the first specification adopted relies on the policy eligibility rules for the construction of the control and treatment groups the others hinge respectively on marital status for women in couple households and on the presence of children for single women we find evidence of a negative employment effect for married women with a reduction of about three percentage points in the employment rate after the introduction of the policy in particular it seems to be the conditioning on total household resources that discourages married women s labour market participation on the contrary the employment impact of the measure is positive for cohabiting women and twice as large the policy effect is very small and statistically not significant for single women the net impact of the introduction of the tax credit on the total employment of women is very marginal amounting to the creation of about two thousand new jobs