Flexible Contracts and Subjective Well‐Being
John S. Heywood
University of Wisconsin at Milwaukee; University of Birmingham - Department of Commerce
Economic Inquiry, Vol. 49, Issue 3, pp. 716-729, 2011
Theory suggests that when workers choose between permanent and flexible contracts, their utility should tend to equalize across contract types. New estimates of job satisfaction show the critical role played by unmeasured worker heterogeneity. They reveal that flexible contracts are a strong negative determinant of satisfaction with job security but are often a positive determinant of other dimensions of job satisfaction. As a consequence, flexible contracts have either a weak negative influence or no influence on overall job satisfaction. Moreover, flexible contracts generally have no impact on overall life satisfaction of the employed. These results appear broadly consistent with the presence of equalizing differences.
Number of Pages in PDF File: 14
JEL Classification: J28, J41Accepted Paper Series
Date posted: June 29, 2011
© 2013 Social Science Electronic Publishing, Inc. All Rights Reserved.
This page was processed by apollo2 in 1.609 seconds