Search Results
Author: Hofler, Richard A.
Resulting in 2 citations.
| 1. |
Hofler, Richard A. Polachek, Solomon W. |
|
A New Approach for Measuring Wage Ignorance in the Labor Market Journal of Economics and Business 37,3 (August 1985): 267-276. Also: http://www.sciencedirect.com/science/article/pii/0148619585900220 Cohort(s): Older Men Publisher: Temple University Press Keyword(s): Education; Job Search; Racial Equality/Inequality; Rural/Urban Differences; Unions; Urban and Regional Planning; Wages; Work Experience A new econometric approach is presented for the evaluation of information content within labor markets. Ignorance is defined as the difference between the wage (price) individuals earn (pay) with complete information and the wage (price) they actually receive (pay) given their limited information stocks. A frontier production function approach is employed to measure ignorance for various markets. Data were obtained from the NLS of Older Men and was limited to those subjects employed in 1971 and meeting other criteria, leaving a sample of 219 men. The empirical results are highly consistent with the analytic results of search theory. Specifically, labor market ignorance appears to be greater among blacks than whites, greater in rural than urban areas, and greater among those with more risk aversion, higher opportunity costs of search, and lower levels of education and job experience. In addition, union membership is found to drastically reduce labor market ignorance, suggesting a new interpretation of the role of unions. |
|
|
Bibliography Citation
Hofler, Richard A. and Solomon W. Polachek. "A New Approach for Measuring Wage Ignorance in the Labor Market." Journal of Economics and Business 37,3 (August 1985): 267-276.
|
| 2. |
Polachek, Solomon W. Hofler, Richard A. |
|
Employee Ignorance in the Labor Market Mimeo, State University of New York - Binghamton, 1989 Cohort(s): Older Men Publisher: State University of New York - Binghamton Keyword(s): Earnings; Gender Differences; Geographical Variation; Job Search; Racial Differences; Unemployment; Unemployment Compensation; Unions; Urban and Regional Planning Permission to reprint the abstract has not been received from the publisher. Frontier production function estimation techniques are used to estimate two-error component earnings functions for various population strata. The first error component can be interpreted as being purely random. Across-strata differences in the second error component are interpreted to reflect interstrata employee differences in labor market wage information. Using data from the PSID and NLS, the authors find blacks and females to have less information than white males, urban employees to have more information than rural workers, unemployment insurance (UI) beneficiaries to have an information advantage over non-UI recipients, and union members to have more information than nonmembers. |
|
|
Bibliography Citation
Polachek, Solomon W. and Richard A. Hofler. "Employee Ignorance in the Labor Market." Mimeo, State University of New York - Binghamton, 1989. |