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Labour supply and commodity demands : an application to Irish data

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  • Rodney Thom
  • Anthony Murphy

Abstract

Annual Irish data are used to estimate a model which allows for the joint determination of commodity demands and labour supply. Consumer preferences are modelled by a cost function of the Gorman polar form which permits exact linear aggregation over individuals with different money wage rates. Separability between goods and leisure is rejected by the data. Labour supply is found to be a positive function of the wage rate.
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Suggested Citation

  • Rodney Thom & Anthony Murphy, 1987. "Labour supply and commodity demands : an application to Irish data," Open Access publications 10197/704, School of Economics, University College Dublin.
    • Handle: RePEc:ucn:oapubs:10197/704
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    File URL: http://hdl.handle.net/10197/704
    File Function: Open Access version, 1987
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    Cited by:

    1. John Fitz Gerald, 1999. "Wage Formation and the Labour Market," Palgrave Macmillan Books, in: Frank Barry (ed.), Understanding Ireland’s Economic Growth, chapter 7, pages 137-165, Palgrave Macmillan.
    2. Aylit Tina Romm, 2017. "Retirement date effects on saving behavior: Endogenous labor supply and non-separable preferences," International Journal of Economic Theory, The International Society for Economic Theory, vol. 13(3), pages 327-346, September.

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