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Measuring the Values for Time

Author

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  • Raymond B. Palmquist
  • Daniel J. Phaneuf
  • V. Kerry Smith

Abstract

Most economic models for time allocation ignore constraints on what people can actually do with their time. Economists recently have emphasized the importance of considering prior consumption commitments that constrain behavior. This research develops a new model for time valuation that uses time commitments to distinguish consumers' choice margins and the different values of time these imply. The model is estimated using a new survey that elicits revealed and stated preference data on household time allocation. The empirical results support the framework and find an increasing marginal opportunity cost of time as longer time blocks are used.

Suggested Citation

  • Raymond B. Palmquist & Daniel J. Phaneuf & V. Kerry Smith, 2007. "Measuring the Values for Time," NBER Working Papers 13594, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:13594
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    References listed on IDEAS

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    8. Harley Frazis & Jay Stewart, 2007. "Where Does the Time Go? Concepts and Measurement in the American Time Use Survey," NBER Chapters, in: Hard-to-Measure Goods and Services: Essays in Honor of Zvi Griliches, pages 73-97, National Bureau of Economic Research, Inc.
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    Cited by:

    1. Chinmay Maheshwari & Kshitij Kulkarni & Druv Pai & Jiarui Yang & Manxi Wu & Shankar Sastry, 2024. "Congestion Pricing for Efficiency and Equity: Theory and Applications to the San Francisco Bay Area," Papers 2401.16844, arXiv.org, revised Sep 2024.
    2. Burger, John D. & Walters, Stephen J.K., 2012. "Is America’s National Pastime too time consuming?," Economics Letters, Elsevier, vol. 115(2), pages 204-206.

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    More about this item

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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