Journal of Labor Economics Vol. 26 No. 3 2008

Job Changes and Hours Changes: Understanding the Path of Labor Supply Adjustment

Richard Blundell^1,2; Mike Brewer¹; Marco Francesconi^3,1

¹ Institute for Fiscal Studies · ² University College London · ³ University of Essex

Abstract

We use British panel data to investigate single women’s labor supply changes in response to three reforms that affected individuals’ work incentives. We use these reforms to identify changes in labor supply. There is evidence of small hours of work effects for two of such reforms. A third reform in 1999 instead led to a significant increase in single mothers’ hours of work. The mechanism by which the labor supply adjustments were made occurred largely through job changes rather than hours changes with the same employer. This is little overall effect of the reforms on wages.

DOI

10.1086/588245

Volume

26

Issue

3

Pages

421-453

Language

en

Sources

openalex crossref

Cite

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