Labor economics

Is your Labor Economics course covering the most up-to-date material? Let these updates to Borjas 4/e serve as a checklist for your course: New policy applications and descriptions of state-of-the-art research studies, New examples and applications involving labor markets or policy shifts outside of the U.S., New discussion on the impact of the surge in Internet job search activities by both firms and workers, A thorough rewriting and reorganization of the material on immigration, Updated discussion of changes in the U.S. wage structure, New analysis on the impact of welfare reform legislation on labor supply, New discussion on the experimental approach that some recent studies use to measure the amount of discrimination in the labor market. Book jacket.

Chapter 1 Introduction to Labor Economics	p. 1
1-1 An Economic Story of the Labor Market	p. 2
1-2 The Actors in the Labor Market	p. 3
1-3 Why Do We Need a Theory?	p. 7
1-4 The Organization of the Book	p. 10
Summary	p. 11
Key Concepts	p. 11
Review Questions	p. 11
Web Links	p. 12
Appendix An Introduction to Regression Analysis	p. 12
Chapter 2 Labor Supply	p. 21
2-1 Measuring the Labor Force	p. 22
2-2 Basic Facts about Labor Supply	p. 24
2-3 The Worker's Preferences	p. 27
2-4 The Budget Constraint	p. 31
2-5 The Hours of Work Decision	p. 33
2-6 To Work or Not to Work?	p. 40
2-7 The Labor Supply Curve	p. 42
2-8 Estimates of the Labor Supply Elasticity	p. 45
2-9 Labor Supply of Women	p. 50
2-10 Policy Application: Welfare Programs and Work Incentives	p. 55
2-11 Policy Application: The Earned Income Tax Credit	p. 61
Theory at Work: Dollars and Dreams	p. 40
Theory at Work: Winning the Lotto Will Change Your Life	p. 43
Theory at Work: Work and Leisure in Europe and the United States	p. 48
Theory at Work: The Laffer Curve	p. 51
Theory at Work: Female Labor Supply and Economic Development	p. 54
Summary	p. 65
Key Concepts	p. 66
Review Questions	p. 66
Problems	p. 66
Selected Readings	p. 68
Web Links	p. 68
Chapter 3 Topics in Labor Supply	p. 69
3-1 Labor Supply over the Life Cycle	p. 70
3-2 Labor Supply over the Business Cycle	p. 75
3-3 Retirement	p. 78
3-4 Policy Application: The Decline in Work Attachment among Older Workers	p. 82
3-5 Household Production	p. 88
3-6 Fertility	p. 94
Theory at Work: Cabbies in New York City	p. 75
Theory at Work: The Notch Babies	p. 83
Theory at Work: Poor Relief and Fertility	p. 95
Theory at Work: Not-So-Fast Times at Ridgemont High	p. 100
Summary	p. 100
Key Concepts	p. 101
Review Questions	p. 103
Problems	p. 101
Selected Readings	p. 103
Web Links	p. 104
Chapter 4 Labor Demand	p. 105
4-1 The Production Function	p. 106
4-2 The Employment Decision in the Short Run	p. 109
4-3 The Employment Decision in the Long Run	p. 115
4-4 The Long-Run Demand Curve for Labor	p. 119
4-5 The Elasticity of Substitution	p. 126
4-6 Policy Application: Affirmative Action and Production Costs	p. 127
4-7 Marshall's Rules of Derived Demand	p. 130
4-8 Factor Demand with Many Inputs	p. 133
4-9 Overview of Labor Market Equilibrium	p. 135
4-10 Policy Application: The Employment Effects of Minimum Wages 13 4-11 Adjustment Costs and Labor Demand	p. 147
4-12 Rosie the Riveter as an Instrumental Variable	p. 154
Theory at Work: California's Overtime Regulations and Labor Demand	p. 125
Theory at Work: The Minimum Wage and Puerto Rican Migration	p. 145
Theory at Work: Work-Sharing in Germany	p. 152
Summary	p. 159
Key Concepts	p. 159
Review Questions	p. 160
Problems	p. 160
Selected Readings	p. 162
Web Links	p. 162
Chapter 5 Labor Market Equilibrium	p. 163
5-1 Equilibrium in a Single Competitive Labor Market	p. 164
5-2 Competitive Equilibrium across Labor Markets	p. 166
5-3 Policy Application: Payroll Taxes and Subsidies	p. 171
5-4 Policy Application: Payroll Taxes versus Mandated Benefits	p. 178
5-5 Policy Application: The Labor Market Impact of Immigration	p. 181
5-6 The Economic Benefits from Immigration	p. 193
5-7 The Cobweb Model	p. 196
5-8 Noncompetitive Labor Markets: Monopsony	p. 199
5-9 Noncompetitive Labor Markets: Monopoly	p. 205
Theory at Work: The Intifadah and Palestinian Wages	p. 165
Theory at Work: The Clinton Health Care Program	p. 175
Theory at Work: The Great Black Migration	p. 194
Summary	p. 207
Key Concepts	p. 208
Review Questions	p. 208
Problems	p. 209
Selected Readings	p. 211
Web Links	p. 212
Chapter 6 Compensating Wage Differentials	p. 213
6-1 The Market for Risky Jobs	p. 214
6-2 The Hedonic Wage Function	p. 220
6-3 Policy Application: How Much Is a Life Worth?	p. 224
6-4 Policy Application: Safety and Health Regulations	p. 227
6-5 Compensating Differentials and Job Amenities	p. 230
6-6 Policy Application: Health Insurance and the Labor Market	p. 235
Theory at Work: The Value of Life on the Interstate	p. 226
Theory at Work: Workers' Compensation May Be Hazardous to Your Health	p. 230
Summary	p. 238
Key Concepts	p. 238
Review Questions	p. 239
Problems	p. 239
Selected Readings	p. 242
Web Links	p. 242
Chapter 7 Human Capital	p. 243
7-1 Education in the Labor Market: Some Stylized Facts	p. 244
7-2 Present Value	p. 246
7-3 The Schooling Model	p. 246
7-4 Education and Earnings	p. 253
7-5 Estimating the Rate of Return to Schooling	p. 257
7-6 Policy Application: School Construction in Indonesia	p. 260
7-7 Policy Application: School Quality and Earnings	p. 261
7-8 Do Workers Maximize Lifetime Earnings?	p. 265
7-9 Schooling as a Signal	p. 268
7-10 Post-School Human Capital Investments	p. 274
7-11 On-the-Job Training	p. 275
7-12 On-the-Job Training and the Age-Earnings Profile	p. 279
7-13 Policy Application: Evaluating Government Training Programs	p. 284
Theory at Work: Can We Afford to Improve the Skills of High School Dropouts?	p. 262
Theory at Work: Is the GED Better Than Nothing?	p. 273
Theory at Work: Earnings and Substance Abuse	p. 283
Summary	p. 287
Key Concepts	p. 288
Review Questions	p. 288
Problems	p. 289
Selected Readings	p. 291
Web Links	p. 292
Chapter 8 The Wage Structure	p. 293
8-1 The Earnings Distribution	p. 294
8-2 Measuring Inequality	p. 296
8-3 The Wage Structure: Basic Facts	p. 299
8-4 Policy Application: Why Did Wage Inequality Increase?	p. 302
8-5 The Earnings of Superstars	p. 311
8-6 Inequality across Generations	p. 314
Theory at Work: Computers, Pencils, and the Wage Structure	p. 308
Theory at Work: Rock Superstars	p. 313
Summary	p. 317
Key Concepts	p. 317
Review Questions	p. 317
Problems	p. 318
Selected Readings	p. 320
Web Links	p. 320
Chapter 9 Labor Mobility	p. 321
9-1 Geographic Migration as a Human Capital Investment	p. 322
9-2 Internal Migration in the United States	p. 323
9-3 Family Migration	p. 329
9-4 Immigration in the United States	p. 332
9-5 Immigrant Performance in the U.S. Labor Market	p. 334
9-6 The Decision to Immigrate	p. 340
9-7 Policy Application: Intergenerational Mobility of Immigrants	p. 346
9-8 Job Turnover: Facts	p. 351
9-9 The Job Match	p. 354
9-10 Specific Training and Job Turnover	p. 356
9-11 Job Turnover and the Age-Earnings Profile	p. 358
Theory at Work: Migration and EU Expansion	p. 328
Theory at Work: Power Couples	p. 332
Theory at Work: Visas Available (If You Pass a Test or Pay Up!) 344 Theory at Work: Hey Dad, My Roommate Is So Smart, I Got a 4.0 GPA	p. 350
Theory at Work: Health Insurance and Job-Lock	p. 355
Summary	p. 360
Key Concepts	p. 361
Review Questions	p. 361
Problems	p. 362
Selected Readings	p. 364
Web Links	p. 364
Chapter 10 Labor Market Discrimination	p. 365
10-1 Race and Gender in the Labor Market	p. 366
10-2 The Discrimination Coefficient	p. 367
10-3 Employer Discrimination	p. 368
10-4 Employee Discrimination	p. 375
10-5 Customer Discrimination	p. 376
10-6 Statistical Discrimination	p. 378
10-7 Experimental Evidence on Discrimination	p. 382
10-8 Measuring Discrimination	p. 385
10-9 Policy Application: Determinants of the Black-White Wage Ratio	p. 388
10-10 Discrimination against Other Groups	p. 395
10-11 Policy Application: Determinants of the Female-Male Wage Ratio	p. 397
Theory at Work: Beauty and the Beast	p. 375
Theory at Work: Customer Discrimination and the NBA	p. 379
Theory at Work: Discrimination on the Weakest Link	p. 383
Theory at Work: Shades of Black	p. 395
Theory at Work: Orchestrating Impartiality	p. 400
Summary	p. 405
Key Concepts	p. 405
Review Questions	p. 405
Problems	p. 406
Selected Readings	p. 409
Web Links	p. 409
Chapter 11 Labor Unions	p. 410
11-1 Unions: Background and Facts	p. 411
11-2 Determinants of Union Membership	p. 415
11-3 Monopoly Unions	p. 421
11-4 Policy Application: Unions and Resource Allocation	p. 423
11-5 Efficient Bargaining	p. 425
11-6 Strikes	p. 431
11-7 Union Wage Effects	p. 437
11-8 The Exit-Voice Hypothesis	p. 443
11-9 Policy Application: Public-Sector Unions	p. 445
Theory at Work: The Rise and Fall of PATCO	p. 420
Theory at Work: The Cost of Labor Disputes	p. 434
Theory at Work: Airline Deregulation and the Wages of Airline Mechanics	p. 443
Theory at Work: Lawyers and Arbitration	p. 447
Summary	p. 448
Key Concepts	p. 449
Review Questions	p. 449
Problems	p. 450
Selected Readings	p. 452
Web Links	p. 452
Chapter 12 Incentive Pay	p. 453
12-1 Piece Rates and Time Rates	p. 454
12-2 Tournaments	p. 461
12-3 Policy Application: The Compensation of Executives	p. 466
12-4 Work Incentives and Delayed Compensation	p. 469
12-5 Efficiency Wages	p. 473
Theory at Work: Windshields by the Piece	p. 458
Theory at Work: Incentive Pay Gets You to LAX on Time	p. 462
Theory at Work: Playing Hard for the Money	p. 465
Theory at Work: Did Henry Ford Pay Efficiency Wages?	p. 477
Summary	p. 482
Key Concepts	p. 482
Review Questions	p. 482
Problems	p. 483
Selected Readings	p. 485
Web Links	p. 485
Chapter 13 Unemployment	p. 486
13-1 Unemployment in the United States	p. 487
13-2 Types of Unemployment	p. 493
13-3 The Steady-State Rate of Unemployment	p. 494
13-4 Job Search	p. 496
13-5 Policy Application: Unemployment Compensation	p. 503
13-6 The Intertemporal Substitution Hypothesis	p. 510
13-7 The Sectoral Shifts Hypothesis	p. 512
13-8 Efficiency Wages	p. 513
13-9 Implicit Contracts	p. 517
13-10 Policy Application: The Phillips Curve	p. 518
13-11 Policy Application: Why Does Europe Have High Unemployment?	p. 523
Theory at Work: Jobs and Friends	p. 497
Theory at Work: Cash Bonuses and Unemployment	p. 505
Theory at Work: The Benefits of UI	p. 510
Summary	p. 525
Key Concepts	p. 526
Review Questions	p. 526
Problems	p. 527
Selected Readings	p. 529
Web Links	p. 530
Indexes	p. 531
Name Index	p. 531
Subject Index	p. 536

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