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- W2012509811 abstract "Surveys in the United States and Canada reveal that approximately half of all workers would like to work a different number of hours per week if they could continue to receive their usual hourly wage. Of these about two-thirds would like to work more hours and one-third would like to work fewer hours (Kahn and Lang, 1991; Shank, 1986). Despite the apparent prevalence of hours constraints, the reasons why they exist are poorly understood. In previous research we showed that Lazear's (1981) agency model of the return to seniority is inconsistent with the data and that the specific-capital model and insurance-based implicit contract models cannot account for important regularities (Kahn and Lang, 1992, 1995). In this paper, we examine whether hours constraints can be explained by the existence of a hedonic wage/hours locus. We find that the actual wage/hours locus is reasonably consistent with the wage/hours locus predicted by observed hours constraints when the hedonic model is augmented by considerations of long-term contracting. We conclude that despite data and estimation shortcomings, hedonic choices are an important reason for hours constraints to exist." @default.
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- W2012509811 date "1996-04-01" @default.
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- W2012509811 title "Hours Constraints and the Wage/Hours Locus" @default.
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- W2012509811 doi "https://doi.org/10.2307/135963" @default.
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