Alternative approaches to discrete working time choice in an AGE framework

Abstract

"We compare two options of integrating discrete working time choice of heterogenous households into a general equilibrium model. The first, known from the literature, produces household heterogeneity through a working time preference parameter. We contrast this with a model that directly incorporates a logit discrete-choice approach into an AGE framework. On the grounds of both calibration consistency and adequate accommodation of within-household interaction, we argue that the logit approach is preferable." (Author's abstract, IAB-Doku) ((en))

Cite article

Arntz, M., Boeters, S. & Gürtzgen, N. (2006): Alternative approaches to discrete working time choice in an AGE framework. In: Economic Modelling, Vol. 23, No. 6, p. 1008-1032. DOI:10.1016/j.econmod.2006.04.010