Cross-Sectional Patterns of Employment and Hours Changes

Casey B. Mulligan

in The Redistribution Recession

Published in print November 2012 | ISBN: 9780199942213
Published online January 2013 | e-ISBN: 9780199980772 | DOI:
Cross-Sectional Patterns of Employment and Hours Changes

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This chapter shows that employment and hours changes 2007–10 were not uniform across demographic groups, but rather fell in amounts related to changes in log self-reliance rates. Self-reliance rate changes tended to be less for persons who were capable of earning a lot and for members of dual-earner or childless households because they were less likely to qualify for safety net programs. Self-reliance rate changes were also less for elderly people. Meanwhile, hours per capita tended to fall more for less educated groups, and tended to increase for elderly people. A more surprising finding is that work hours fell significantly less for married people, even when controlling variables related to demographics and industry. The marital status gap is especially large among women. The education pattern of work hours changes varies by marital status, as predicted by the theory that the expanding social safety net was a major force reducing aggregate work hours.

Keywords: implicit tax rates; social safety net; labor market; marital status; 2008–9 recession

Chapter.  13788 words.  Illustrated.

Subjects: Public Economics

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