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Desired work-leisure balance in a partial equilibrium job search model with multiple job holding

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  • Sum Lo Simon Ming

    (The United Arab Emirates University, Department of Innovation in Government and Society)

Abstract

Work-leisure balances are beneficial to society. A partial equilibrium job search model is developed to explain desired work-leisure tradeoffs for single-job holders and multiple-job holders. Significant work-leisure mismatches are found: 63% of the observations underwork by an average of 17 hours per week, while 37% overwork by 8.5 hours. The value of leisure is approximately four times the average hourly real wage when a single job is held, and it drops by one-third when multiple jobs are held. Models ignoring possibilities of multiple jobholding overstate the elasticity of leisure and understate the value of leisure.

Suggested Citation

  • Sum Lo Simon Ming, 2023. "Desired work-leisure balance in a partial equilibrium job search model with multiple job holding," IZA Journal of Labor Economics, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 12(1), pages 1-43, December.
    • Handle: RePEc:vrs:izajle:v:12:y:2023:i:1:p:43:n:6
    DOI: 10.2478/izajole-2023-0006
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    More about this item

    Keywords

    job search model; work-leisure balance; value of time; multiple jobholding; underemployment and overemployment; wage elasticity of labor supply; employment and unemployment duration;
    All these keywords.

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General

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