Influence of Unpaid Work on Work-Leisure Choices
An individual's choices regarding working hours are significantly influenced by their obligations to perform unpaid work, such as childcare, cooking, cleaning, and shopping. These tasks consume a portion of what the work-leisure model terms 'free time' and can reduce a person's flexibility to exchange this time for more income. As a result, for individuals with substantial unpaid work responsibilities, the substitution effect of a wage increase is typically smaller. This increases the likelihood that the income effect will be dominant, potentially causing them to choose to work the same or fewer hours despite a higher wage.
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Introduction to Microeconomics Course
The Economy 2.0 Microeconomics @ CORE Econ
Ch.3 Doing the best you can: Scarcity, wellbeing, and working hours - The Economy 2.0 Microeconomics @ CORE Econ
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