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December 1, 1981Journal of Political Economy837 citations

An Empirical Model of Labor Supply in a Life-Cycle Setting

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TMThomas MaCurdy

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Abstract

This paper formulates and estimates a structural intertemporal model of labor supply. Using theoretical characterizations derived from an economic model of lifetime behavior, a two-step empirical analysis yields estimates of intertemporal and uncompensated substitution effects which provide the information needed to predict the response of hours of work to life-cycle wage growth and shifts in the lifetime wage path.

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Thomas MaCurdy (1981) studied this question.

synapsesocial.com/papers/69dee9dd7702a00918b0d1f1https://doi.org/10.1086/261023
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