Chapter 8 Compensating Wage Differentials and Labor Markets.

Slides:



Advertisements
Similar presentations
Copyright © 2002 Pearson Education, Inc. Slide 1.
Advertisements

Chapter 8 Compensating Wage Differentials and Labor Markets.
Copyright © 2002 Pearson Education, Inc. Slide 1.
Labor Market Equilibrium. We start with the assumption that each labor market is competitive. What does this mean? How is equilibrium price set? Why is.
Chapter 13 Unions and the Labor Market. Copyright © 2006 Pearson Addison-Wesley. All rights reserved TABLE 13.1 Union Membership and Bargaining.
Chapter 15 Unemployment. Copyright © 2006 Pearson Addison-Wesley. All rights reserved TABLE 15.1 Civilian Labor Force Participation, Employment,
Chapter 8 Compensating Wage Differentials. What affects occupational choice? wages non-pecuniary characteristics since jobs have both of these attributes,
8 Compensating Wage Differentials and Labor Markets.
Heterogeneity One limitation of the static LS model lies in the heterogeneity assumption. In reality, individuals differ in preference and in information.
Chapter 7 The Wage Structure What makes equality such a difficult business is that we only want it with our superiors. —Henry Becque.
Copyright © 2008 Pearson Education, Inc. Chapter 10 Differential Equations Copyright © 2008 Pearson Education, Inc.
Chapter 8: Compensating Wage Differentials
Chapter 2 Overview of the Labor Market. Copyright © 2003 by Pearson Education, Inc.2-2 Figure 2.1 Labor Force Status of the U.S. Adult Civilian Population,
Copyright © 2008 Pearson Education, Inc. Chapter 3 The Derivative Copyright © 2008 Pearson Education, Inc.
Chapter 15 Unemployment. Copyright © 2003 by Pearson Education, Inc.15-2.
Chapter 6 Supply of Labor to the Economy: The Decision to Work.
Managerial Economics and Organizational Architecture, 5e Managerial Economics and Organizational Architecture, 5e Chapter 14: Attracting and Retaining.
Chapter 13 Unions and the Labor Market. Copyright © 2003 by Pearson Education, Inc.13-2.
Copyright © 2008 Pearson Education, Inc. Chapter 13 The Trigonometric Functions Copyright © 2008 Pearson Education, Inc.
Copyright © 2009 Pearson Education, Inc Topic 1. Chapter 2 Overview of Labor Market.
Chapter 3 The Demand for Labor. Copyright © 2003 by Pearson Education, Inc.3-2.
Copyright © 2009 Pearson Education, Inc. Chapter 5 Frictions in the Labor Market.
Chapter 4 Labor Demand Elasticities. Copyright © 2003 by Pearson Education, Inc.4-2 Figure 4.1 Relative Demand Elasticities.
Chapter 10 Worker Mobility: Migration, Immigration, and Turnover.
Copyright © 2009 Pearson Education, Inc. Publishing as Pearson Addison-Wesley Chapter 6 HUMAN CAPITAL.
Investments in Human Capital: Education and Training
Chapter 14 Inequality in Earnings. Copyright © 2003 by Pearson Education, Inc.14-2 Figure 14.1 Earnings Distribution with Perfect Equality.
Chapter 1 Introduction. Copyright © 2003 by Pearson Education, Inc.1-2.
Copyright © 2009 Pearson Education, Inc Review For Final Exam Will Include Questions From: In-Class Lectures Chapter 6 (exclude pps and.
2.3 Real and nominal wages Actions of employers (buyers) and employees (sellers) determine wages (prices) These prices act as signals or incentives Part.
Indifference curves Workers care about whether their job is safe or risky Utility = f (w,  ) where  risk of injury Indifference curves reveal the trade.
ECON 381 Compensating differentials.  We have talked about how workers care about non-wage job characteristics  We also talked about the “fixed wage”
Ch. 8: COMPENSATING WAGE DIFFERENTIALS AND LABOR MARKETS
Copyright © 2009 Pearson Education, Inc. Chapter 8 Compensating Wage Differentials and Labor Markets.
Chapter 5 Compensating Wage Differentials Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin.
McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved. Attracting and retaining qualified employees Personnel economics.
Copyright © 2009 Pearson Education, Inc Topic 5-2. (Ch. 14) Job Search.
Chapter 02 Derek Laing The U.S. Labor Market. Labor Economics Copyright © 2011 by W.W. Norton & Company, Inc.
Copyright © 2008 Pearson Education, Inc. Chapter 8 Further Techniques and Applications of Integration Copyright © 2008 Pearson Education, Inc.
Copyright © 2009 Pearson Education, Inc. Chapter 9 Investments in Human Capital: Education and Training.
Copyright © 2008 Pearson Education, Inc. Publishing as Pearson Addison-Wesley 23-1 At Full Employment: The Classical Model CHAPTER 23.
SS.912.E.1.9 Describe how the earnings of workers are determined Standard 1 Understand the fundamental concepts relevant to the development of a market.
Chapter 2 Overview of the Labor Market. Copyright © 2003 by Pearson Education, Inc.2-2 Outline The labor market definition, facts, and trends - Labor.
Ch. 8: COMPENSATING WAGE DIFFERENTIALS AND LABOR MARKETS A compensating wage differential –an increment in wages required to attract workers into.
Topic 6-1. (Ch. 8) Compensating Wage Differentials.
Modern Labour Economics
Copyright © 2009 Pearson Education, Inc Topic 2. Chapters 3 & 4 The Demand for Labor.
Copyright ©2011 by Pearson Education, Inc. Upper Saddle River, New Jersey All rights reserved. Chapter Cost-Benefit Analysis Concepts and Practice.
Chapter 3 Government Control of Prices in Mixed Systems: What Are the Actual Outcomes? Copyright © 2010 by the McGraw-Hill Companies, Inc. All rights reserved.
Chapter 2 Overview of the Labor Market. Copyright © 2006 Pearson Addison-Wesley. All rights reserved. 2-2 FIGURE 2.1 Labor Force Status of the U.S. Adult.
Labor Economics Instructor’s Resource Disc INTRODUCTION TO CLASSIC AND
Chapter 4 Consumer and Firm Behavior: The Work-Leisure Decision and Profit Maximazation.
Addison Wesley Longman, Inc. © 2000 Chapter 8 Compensating Wage Differentials and Labor Markets.
MODERN LABOR ECONOMICS THEORY AND PUBLIC POLICY CHAPTER Modern Labor Economics: Theory and Public Policy, Eleventh Edition Ronald G. Ehrenberg Robert S.
Compensating Wage Differentials
8 Compensating Wage Differentials and Labor Markets.
Worker Preferences for Risk
Chapter 4 Consumer and Firm Behavior: The Work-Leisure Decision and Profit Maximazation.
Pay and Productivity: Wage Determination within the Firm
Heterogeneity One limitation of the static LS model lies in the heterogeneity assumption. In reality, individuals differ in preference and in information.
Chapter 8: Compensating Wage Differentials
Chapter 7 MATH 1325 Business Calculus Ch.7 Copyright © 2005 Pearson Education, Inc.
Chapter 3 MATH 1325 Business Calculus Ch.3 Copyright © 2005 Pearson Education, Inc.
Chapter 5 MATH 1325 Business Calculus Ch.5 Copyright © 2005 Pearson Education, Inc.
Copyright © 2012, Elsevier Inc. All rights Reserved.
Copyright © 2013 Elsevier Inc. All rights reserved.
Modeling Functionality with Use Cases
Copyright © 2012, Elsevier Inc. All rights Reserved.
Copyright © 2012, Elsevier Inc. All rights Reserved.
Presentation transcript:

Chapter 8 Compensating Wage Differentials and Labor Markets

Copyright © 2003 by Pearson Education, Inc.8-2 Figure 8.1 A Family of Indifference Curves between Wages and Risk of Injury

Copyright © 2003 by Pearson Education, Inc.8-3 Figure 8.2 Representative Indifference Curves for Two Workers Who Differ in Their Aversion to Risk of Injury

Copyright © 2003 by Pearson Education, Inc.8-4 Figure 8.3 A Family of Isoprofit Curves for an Employer

Copyright © 2003 by Pearson Education, Inc.8-5 Figure 8.4 The Zero-Profit Curves of Two Firms

Copyright © 2003 by Pearson Education, Inc.8-6 Figure 8.5 Matching Employers and Employees

Copyright © 2003 by Pearson Education, Inc.8-7 Figure 8.6 An Offer Curve

Copyright © 2003 by Pearson Education, Inc.8-8 Figure 8.7 The Effects of Government Regulation in a Perfectly Functioning Labor Market

Copyright © 2003 by Pearson Education, Inc.8-9 Figure 8.8 A Worker Accepting Unknown Risk

Copyright © 2003 by Pearson Education, Inc.8-10 Figure 8.9 An Indifference Curve between Wages and Employee Benefits

Copyright © 2003 by Pearson Education, Inc.8-11 Figure 8.10 An Isoprofit Curve Showing the Wage/Benefit Offers a Firm Might Be Willing to Make to Its Employees: A Unitary Trade-off

Copyright © 2003 by Pearson Education, Inc.8-12 Figure 8.11 Alternative Isoprofit Curves Showing the Wage/Benefit Offers a Firm Might Be Willing to Make to Its Employees: Nonunitary Trade-offs

Copyright © 2003 by Pearson Education, Inc.8-13 Figure 8.12 Market Determination of the Mix of Wages and Benefits

Copyright © 2003 by Pearson Education, Inc.8-14 Figure 8A.1 Choice of Hours of Work

Copyright © 2003 by Pearson Education, Inc.8-15 Figure 8A.2 The Choice between H'′ Hours with Certainty and H'′ Hours on Average