Individual Wealth, Reservation Wages, and Transitions into Employment
Hans Bloemen () and
Elena Stancanelli
Journal of Labor Economics, 2001, vol. 19, issue 2, 400-439
Abstract:
We investigate the relationship between financial wealth, reservation wages, and labor market transitions. Wealth is assumed to affect the level of the reservation wage and the employment probability. We test for the validity of this assumption by estimating a simultaneous-equations model of reservation wages, labor market transitions, and wealth. The data used for the analysis relate to a sample of unemployed job searchers. We use subjective information on the reservation wage. Wealth is found to have a significantly positive impact on the reservation wage. The overall impact of wealth on the employment probability is negative though small. Copyright 2001 by University of Chicago Press.
Date: 2001
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (92)
Downloads: (external link)
http://dx.doi.org/10.1086/319566 full text (application/pdf)
Access to full text is restricted to subscribers. See http://www.journals.uchicago.edu/JOLE for details.
Related works:
Working Paper: Individual Wealth, Reservation Wages, and Transitions into Employment (2001) 
Working Paper: Individual Wealth, Reservation Wages and Transitions into Employment (1997) 
Working Paper: Individual Wealth, Reservation Wages and Transitions into Employment (1997) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ucp:jlabec:v:19:y:2001:i:2:p:400-439
Access Statistics for this article
More articles in Journal of Labor Economics from University of Chicago Press
Bibliographic data for series maintained by Journals Division ().