From individual to aggregate labor supply: A quantitative analysis based on a heterogeneous agent macroeconomy

• 成果类型: Article
• 署名作者: Chang, YS; Kim, SB
• 署名单位: Seoul National University (SNU); Federal Reserve System - USA; Federal Reserve Bank - Richmond; Concordia University - Canada
• 刊物名称: INTERNATIONAL ECONOMIC REVIEW
• ISSN/ISSBN: 0020-6598
• DOI: 10.1111/j.1468-2354.2006.00370.x
• 发表日期: 2006
• 页码: 1-27
• 关键词: household production; indivisible labor; BUSINESS; earnings; homework; income; time

摘要

At the aggregate level, the labor-supply elasticity depends on the reservation-wage distribution. We present a model economy where workforce heterogeneity stems from idiosyncratic productivity shocks. The model economy exhibits the cross-sectional earnings and wealth distributions that are comparable to those in the micro data. We find that the aggregate labor-supply elasticity of such an economy is around 1, greater than a typical micro estimate.