Labor Supply is a survey of and critical guide to recent theoretical and empirical work on labor supply models, both static and dynamic. The chapters on recent empirical studies and on dynamic models are of particular interest, because neither topic has so far been discussed in any detail in standard texts. Integrated within this survey is an extensive discussion of public policy issues relating to labor supply, including income transfer programs, such as welfare and Social Security, and the income tax system. A concluding chapter discusses secular trends in labor supply in the U.S. economy, in particular the long-run increase in female labor force participation.
1. The simple static model of labor supply; 2. Extensions of the simple short-run model of labor supply; 3. Empirical studies of static labor supply models: introduction, with a summary of 'first generation' results; 4. Second generation studies of static labor supply models: methodology and empirical results; 5. Dynamic labor supply models; 6. Labor supply , taxes and transfers; 7. Conclusion.