New York State School of Industrial and Labor Relations

Home , Alan Krueger, Marianne Bertrand, Orley Ashenfelter

Department of Economics University of Massachusetts Amherst

ECON 781: Graduate Labor Economics Fall 2010 [Th 6:15pm-8:45pm] Machmer Hall E-10

Instructor: Prof. Fidan Ana Kurtulus Email: [email protected] Office: Thompson Hall 912 (Th 3:45pm-5:45pm) Office Phone: (413) 545-2512

The aim of this course is to acquaint Ph.D. students with several key topics in the field of labor economics and to encourage the development of independent research interests. Prerequisites are Ph.D.-level microeconomics and econometrics.

Assignments and Evaluation:

Every student is expected to participate actively in class by coming prepared to discuss the assigned material (20%). Students will also be asked to present individual studies from the reading list during the semester, which will also contribute to their class participation grade.

Students will prepare one page Reaction Memos on each of assigned readings (excluding the assigned overview articles like those in the Handbook of Labor Economics) and will distribute them to other members of the class and me via email at least one day before class discussion of the readings (20%). These Memos should include an overview of the study, at least two aspects of the study you like and why, and two aspects you dislike or could have been done better.

Students are also expected to write a 10-20 page Research Proposal for an original research project on a labor economics topic (40%). The Research Proposal should include a clear articulation of your research question, critical review of the previous literature related to the topic and the contribution of your project to the literature, and a description of data and methods to be used. The goal of this exercise is to get you started on a research paper that may turn into a chapter of your dissertation or a publishable paper. A preliminary outline is due on November 4. Students are expected to meet with me to discuss topics by that date. The final Research Proposal is due at our last meeting on December 9, and students will give a presentation of it to the class on that day.

Students are also strongly encouraged to attend talks related to labor economics at the Economics Department seminar series.

Reading List:

Assigned readings are noted with an asterisk (*). However, this syllabus is a work-in-progress and some additional assignments might be made as the semester progresses. We will not be able to cover all the topics in the reading list; it is meant to be a resource for your future research.

Labor Economics Methods and Data Sources

*J. Angrist and A. Krueger, “Empirical Strategies in Labor Economics,” chapter 23 in volume 3A of The Handbook of Labor Economics, 1278-1357, Sections 3 and 4.

*Abowd, John M. and Francis Kramarz “The Analysis of Labor Markets Using Matched Employer- Employee Data”, in Orley Ashentelter and David Card (eds.), Handbook of Labor Economics, Vol 3B, Chapter 40, pp. 2629-2710.

U.S. Department of Labor, Bureau of Labor Statistics, How the Government Measures Unemployment, BLS Report 505, 1977.

U.S. Department of Labor, Bureau of Labor Statistics, Concepts and Methods Used in Labor Force Statistics from the CPS, BLS Report No. 463, Series P-20 No. 62, October 1976.

C. Romer, "Spurious Volatility in Historical Unemployment Data," Journal of Political Economy, 94 [1], February 1986, 1-37.

A. Polivka, “Data Watch: The Redesigned Current Population Survey,” Journal of Economic Perspectives 10 [3], Summer 1996, 169-180.

H. Farber, "What Do We Know about Job Loss in the United States? Evidence from the Displaced Workers Survey, 1984-2004," Economic Perspectives, Federal Reserve Bank of Chicago, 2Q, 2005.

C. Goldin, "Labor Markets in the 20th Century," NBER Historical Working Paper No. 8, June 1994 [also in Cambridge Economic History of the US, 1-85].

Econometrics References

Cameron, Colin and Pravin Trivedi (2008) Microeconometrics Methods and Applications, Cambridge, UK: Cambridge University Press.

Wooldridge, Jeffrey M. (2002) Econometric Analysis of Cross Section and Panel Data, Cambridge, MA: MIT University Press.

Wooldridge, Jeffrey M. (2006) Introductory Econometrics, Thompson South-Western Press.

Greene, William H (2000) Econometric Analysis, Prentice Hall.

Angrist, Joshua A. and Jorn-Steffen Pisckhe (2009) Mostly Harmless Econometrics, Princeton, NJ: Princeton University Press.

Labor Supply

Individual-Level Models

*R.Blundell and T.MaCurdy (1999), “Labor Supply: A Review of Alternative Approaches”, Handbook of Labor Economics, Volume 3A, Chapter 27.

J. Heckman and M. Killingsworth (1986). “Labor Supply of Women”, Handbook of Labor Economics, Volume 1.

Pencavel, John (1986). “Labor Supply of Men: A Survey”, Handbook of Labor Economics, Volume 1.

J. Heckman and T. MaCurdy (1981) “New Methods for Estimating Labor Supply Functions: A Survey”, Research in Labor Economics 4, 65-102.

M. Killingsworth, Labor Supply, Cambridge University Press, 1983; Chapters 1 and 2.

Thomas Mroz (1987) “Sensitivity of an Empirical Model of Married Women‟s Hours of Work to Economic and Statistical Assumptions”, Econometrica, 55, 4 (July): 765-799.

M. Abbott and O. Ashenfelter, "Labor Supply, Commodity Demand and the Allocation of Time," Review of Economic Studies, 43[3] October 1976, 389-411.

O. Ashenfelter and J. Heckman, "The Estimation of Income and Substitution Effects in a Model of Family Labor Supply," Econometrica, 42[1], January 1974, 73-86.

O. Ashenfelter, "What is Involuntary Unemployment?," Proceedings of the American Philosophical Society, 122[3], June 1978.

Heckman, James J., „Shadow Prices, Market Wages and Labor Supply,” Econometrica, 42[4], July 1974, 679-94.

Guido W. Imbens, Donald B. Rubin, and Bruce I. Sacerdote, “Estimating the Effect of Unearned Income on Labor Supply: Evidence from a Survey of Lottery Players,” American Economic Review 91,4 (Sept.) (2001).

James J. Heckman (1979) “Sample Selection Bias as a Specification Error”, Econometrica, 47, 1 (Jan.): 154-161.

*Samuel Bowles and Yonjin Park (2005) “Emulation, Inequality, and Work Hours: Was Thorsten Veblen Right?”, Economic Journal, 115 (Nov.): F397- F412.

*Bell, L. and Freeman, R. (2001) “The incentive for working hard: explaining hours worked differences in the US and Germany”, Labour Economics, vol. 8(2), pp. 181–202.

Household and Family Models

*Becker, Gary S., 1991, A Treatise on the Family, enlarged edition. Cambridge: Harvard University Press, Introduction, Chapters 1 and 2.

Bronars, S., and J. Grogger, "The Economic Consequences of Unwed Motherhood: Using Twins as a Natural Experiment," American Economic Review, 84[5], December 1994, 1141-1156.

Browning, M., "Children and Household Economic Behavior," Journal of Economic Literature, 30[3], September 1992, 1434-1475.

Gronau, R., "Leisure, Home Production and Work -- The Theory of the Allocation of Time Revisited," Journal of Political Economy, 85[6], December 1977, 1099-1124.

Gronau, R., “Home Production -- A Survey,” Chapter 4 in O. Ashenfelter and R. Layard, eds., The Handbook of Labor Economics, Volume 1, 1986.

Clair Brown (1985) “An Institutional Model of Wives‟ Work Decisions”, Industrial Relations (Spring).

J. Angrist and W. Evans, "Children and their Parents' Labor Supply: Evidence from Exogenous Variation in Family Size," AER 88[3], June 1998, 450-477.

Gronau, R., "Sex-Related Wage Differentials and Women's Interrupted Careers-The Chicken or the Egg," Journal of Labor Economics, 6[3], July 1988, 277-301.

Willis, R., "What Have We Learned from the Economics of the Family?," American Economic Review, 77[2], May 1987, 68-81.

Gelbach, J., “Public Schooling for Young Children and Maternal Labor Supply,” American Economic Review, 92, March 2002, 307-322.

Kearney, M., “Is There an Effect of Incremental Welfare Benefits on Fertility Behavior? A Look at the Family Cap,” Journal of Human Resources 39(2), 2004.

Tax and Transfer Programs

Burtless, G. and J. Hausman (1978). “The Effect of Taxes on Labor Suppy: Evaluating the Gary NIT Experiment”, Journal of Political Economy, Vol. 6, No. 6, 1103-1130.

J. Hausman (1985) “Taxes and Labor Supply”, Handbook of Public Economics, A. Auerbach and M. Feldstein (eds), Amsterdam: North-Holland.

R. Moffitt, “Welfare Programs and Labor Supply,” Handbook of Public Economics: Volume 4. eds. A. Aurbach and M. Feldstein, September 2002.

Nada Eissa and Hilary Hoynes (2004) “Taxes and the Labor Market Participation of Married Couples: The Earned Income Tax Credit”, Journal of Public Economics, 88, 9/10 (Aug.): 1931-58.

*N. Eissa and J. Leibman, “Labor Supply Response to the Earned Income Tax Credit,” Quarterly Journal of Economics 111 (May 1996).

Killingsworth, Chapter 6.

O. Ashenfelter, "The Labor Supply Response of Wage Earners," in Palmer and Pechman, eds., Welfare in Rural Areas, Brookings, 1978, 109-148.

Greenberg, D., and H. Halsey, "Systematic Misreporting and Effects of Income Maintenance Experiments on Work Effort: Evidence from the SIME-DIME," Journal of Labor Economics, 1[4], October 1983, 380-407.

O. Ashenfelter, "Determining Participation in Income-Tested Social Programs, Journal of the American Statistical Association, 78[383], September 1983, 517-525.

O. Ashenfelter and M. Plant, "Non-Parametric Estimates of the Labor Supply Effects of Negative Income Tax Programs," Journal of Labor Economics, 8[1] Part 2, 1990, S397- S415.

Plant, M., "An Empirical Analysis of Welfare Dependence," American Economic Review, 74[4], September 1984, 673-684.

R. Blank, „Evaluating Welfare Reform in the United States,” Journal of Economic Literature, December 2002, 1105-66.

R. Blundell, A. Duncan, and C. Meghir, “Estimating Labor Supply Responses Using Tax Reforms,” Econometrica 66 (1998), 827-861.

D. Card and D. Hyslop, “Estimating the Effects of a Time-Limited Earnings Subsidy For Welfare-Leavers,” Econometrica 73 (November 2005), 1723-1770.

The Life-Cycle Model

Lucas, R.E., and L. Rapping, “Real Wages, Employment, and Inflation,” Journal of Political Economy, 77[5], September-October 1969, 721-764.

G. Becker and G. Ghez, The Allocation of Time and Goods Over the Life-Cycle, Columbia University Press, 1975.

T. MaCurdy, "An Empirical Model of Labor Supply in a Life-Cycle Setting," Journal of Political Economy, 89[6], December 1981, 1059-1085.

J. Altonji, "Intertemporal Substitution in Labor Supply: Evidence from Micro Data, Journal of Political Economy, 94[3] Part 2, June 1986, S176-S215.

Browning, Deaton and Irish, "A Profitable Approach to Labor Supply and Commodity Demand Over the Life-Cycle," Econometrica, 53[3], May 1985, 503-543.

O. Ashenfelter, "Macroeconomic and Microeconomic Analyses of Labor Supply,” Carnegie-Rochester Conference on Public Policy, 21, 1984, 117-156.

J. Angrist, "Grouped-Data Estimation and Testing in Simple Labor Supply Models," Journal of Econometrics, 47[2], 1991, 243-266.

D. Card, "Intertemporal Labor Supply: An Assessment," in C. Sims, ed., Advances in Econometrics Sixth World Congress, vol. II, Cambridge University Press, 1994, 49-78.

P.J. Devereux. “Small Sample Bias in Synthetic Cohort Models of Labor Supply,” forthcoming in The Journal of Applied Econometrics 2007, 839-848.

C. Camerer, L. Babcock, G. Lowenstein, and R. Thaler, “Labor Supply of New York City Cabdrivers: One Day at a Time,” QJE 112 (1997), 407-441.

Oettinger, Gerald S., “An Empirical Analysis of the Daily Labor Supply of Stadium Vendors,” Journal of Political Economy, 107[2], April 1999, 360-92.

H. Farber, “Is Tomorrow Another Day? The Labor Supply of New York City Cab Drivers,” JPE, February 2005.

E. Fehr and Goette, “Do Workers Work More if Wages are High? Evidence from a Randomized Field Experiment,” American Economic Review, March 2007.

H. Farber, “Reference-Dependent Preferences and Labor Supply: The Case of New York City Taxi Drivers,” The American Economic Review 98 (2008), 1069-1082.

Labor Demand

*D. Hamermesh (1993), Labor Demand, Princeton, NJ: Princeton University Press, Chapters 2-3,18-136.

D. Hamermesh, “The Demand for Labor in the Long Run,” Chapter 8 in O. Ashenfelter and R. Layard [eds.] Handbook of Labor Economics, Volume 1, 1986.

D. Card, “Unexpected Inflation, Real Wages, and Employment Determination in Union Contracts,” American Economic Review, September 1990, 669-88.

James B. Rebitzer (1993) “Radical Political Economy and the Economics of Labor Markets” Journal of Economic Literature, 31, 3 (Sept.): 1394-1434.

S. Nickell, “Dynamic Models of Labour Demand,” Chapter 9 in O. Ashenfelter and R. Layard [eds.] Handbook of Labor Economics, Volume 1, 1986.

Walter Oi (1962) “Labor as a Quasi-Fixed Factor”, Journal of Political Economy, 70, 6: 538-555.

J. Angrist, "Short-Run Demand for Palestinian Labor," Journal of Labor Economics, July 1996.

H. Varian, Microeconomic Analysis [third edition], New York: Norton, 1992.

*Card, David and Alan Krueger (1994) “Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania”, American Economic Review, 84, 4 (Sept.): 772-793.

Hamermesh, Daniel S. and Stephen J. Trejo (2000) “The Demand for Hours of Labor: Direct Evidence from California”, Review of Economics and Statistics, 82, 1 (Feb.): 38-47.

D. Card, „The Impact of the Mariel Boatlift on the Miami Labor Market.‟ Industrial and Labor Relations Review, vol.43, (January 1990), pp. 245--257.

D. Card (2001) “Immigrant Inflows, Native Outflows, and the Labor Market Impacts of higher Immigration”, Journal of Labor Economics, 19, 1: 22-64.

Education, Human Capital and Training

*G. Becker, Human Capital, 3rd Edition, Chicago: University of Chicago press, 1993. Chapters I, II, III, and IV.

*M. Spence (1973) “Job Market Signalling”, Quarterly Journal of Economics (August).

J. Mincer, Schooling, Experience, and Earnings, New York: NBER, 1974.

R.J. Willis, "Wage Determinants: A Survey," in The Handbook of Labor Economics, ed. By O. Ashenfelter and R. Layard. Amsterdam: North Holland. Pp. 525-602.

*Samuel Bowles and Herbert Gintis (1975) “The Problem with Human Capital Theory-A Marxian Critique”, American Economic Review, 65,2:74-82.

*Samuel Bowles, Herbert Gintis, and Melissa Osborne (2001) “The Determinants of Earnings: A Behavioral Approach”, Journal of Economic Literature, 39 (Dec.): 1137-76.

*O. Ashenfelter and A. Krueger (1994) “Estimates of the Economic Returns to Schooling from a New Sample of Twins”, American Economic Review, 84 (December): 1157-73.

*Angrist, J.D. and A. Krueger, "Does Compulsory Schooling Attendance Affect Schooling and Earnings?" Quarterly Journal of Economics, 106[4], Nov 1991, 979-1014.

D. Card (1995) “Using Geographic Variation in College Proximity to Estimate the Return to Schooling” in Aspects of Labour Market Behaviour: Essays in Honour of John Vanderkamp, edited by Louis N. Christofides, Kenneth E. Grant, and Roert Swidinsky, University of Toronto Press, pp. 201-22.

Butcher, Kristen and Anne Case (1994) “The Effects of Sibling Composition on Women‟s Education and Earnings”, Quarterly Journal of Economics 109, no. 3 (August), pp. 531-63.

*D. Card, "Earnings, Schooling, and Ability Revisited," in: S. Polachek, ed. Research in Labor Economics, 14, 1995, 23-48.

*D. Card and A. Krueger, “Does School Quality Matter? Returns to Education and the

Characteristics of Public Schools in the United States,” Journal of Political Economy 100, February 1992.

D. Card, “The Causal Effect of Education on Earnings,” chapter in The Handbook of Labor Economics, Volume 3A, 1999.

“Symposium on Primary and Secondary Education” , Journal of Economic Perspectives (Fall 1996) articles by David Card and Alan Krueger and by Eric Hanushek.

*P. Carneiro and J.J. Heckman (2002) “The Evidence on Credit Constraint in Post-Secondary Schooling”, Economic Journal (October), 705-734.

*D. Acemoglu and J. Pischke. (1998) AWhy Do Firms Train? Theory and Evidence.@ Quarterly Journal of Economics, Vol. 113.1 (February), 79-119.

*D. Acemoglu and J.S. Pischke. (1999) Beyond Becker: Training in Imperfect Labor Markets, Economic Journal, 109.453 (February), 112-42.

*D. Acemoglu and J.S. Pischke (1999) “The Structure of Wages and Investment in General Training”, Journal of Political Economy (June), 539-572.

R. Freeman, "Overinvestment in College Training," Journal of Human Resources, Summer 1975, 10[3], 287-311.

R.J. Willis, and Sherwin Rosen, "Education and Self-Selection," Journal of Political Economy, 87[5] Part 2, Oct 1979: S7-S36.

R. Freeman, “Demand for Education,” Chapter 6 in The Handbook of Labor Economics, Volume 1, 1986.

Griliches and Mason, "Education, Income and Ability," Journal of Political Economy, 80[3], May-June 1972 Part 2, S74-S103.

J. Angrist, "The Economic Returns to Schooling in the West Bank and Gaza Strip," American Economic Review, 85[5], Dec 1995, 1065-1087.

Returns to schooling econometrics

Z. Griliches, “Estimating the Returns to Schooling: Some Econometric Problems,” Econometrica, January 1977.

P. Oreopoulos, “Estimating Average and Local Average Treatment Effects of Education when Compulsory Schooling Laws really Matter,” American Economic Review 96(1), March 2006, pp. 152-175.

Returns to experience

J. Altonji and R. Shakotko, “Do Wages Rise with Job Seniority?,” Review of Economic Studies, July 1987.

J. Angrist, "Lifetime Earnings and the Vietnam Era Draft Lottery: Evidence from Social Security Administrative Records," American Economic Review, 80[3], June 1990, 313- 336.

Katherine Abraham and James Medoff (1981) “Are Those Paid More Really More Productive? The Case of Experience”, Journal of Human Resources, Spring, pp. 186-216.

Evaluation of Training Programs

J. Heckman and A. Krueger, Inequality in America: What Role for Human Capital Policies?, Cambridge, MA: The MIT Press, 2003.

Ashenfelter, O.A, "Estimating the Effect of Training Programs on Earnings," The Review of Economics and Statistics, 60[1], Feb 1978, 47-57.

Ashenfelter, O.A. and D. Card, "Using the Longitudinal Structure of Earnings to Estimate the Effect of Training Programs on Earnings," The Review of Economics and Statistics, 67 [4], November 1985, 648-660.

Card, D. and D. Sullivan, "Measuring the Effect of Subsidized Training on Movements In and Out of Employment," Econometrica, 56[3], May 1988, 497-530.

LaLonde, R., "Evaluating the Econometric Evaluations of Training Programs with Experimental Data," American Economic Review, 76 [4], September 1986, 604-620.

Heckman, J.J., and J.V. Hotz, "Choosing Among Alternative Nonexperimental Methods for Estimating the Impact of Social programs: The Case of Manpower Training," JASA, 84[408], December 1989, 862-880.

R. Dehejia and S. Wahba, “Causal Effects in Non-experimental Studies: Re-evaluating the Evaluation of Training Programs,” JASA, 94[448], December 1999, 1053-62.

Orr, Larry L., H.S. Bloom, S.H. Bell, F. Doolittle, W. Lin, and G. Cave, Does Training for the Disadvantaged Work?, Washington, DC: The Urban Institute, 1996.

J. Smith and P. Todd, “Reconciling Conflicting Evidence on the Performance of Propensity Score Matching Methods,” American Economic Review 91 (May 2001).

J. Smith and P. Todd, “Does Matching Overcome Lalonde‟s Critique of Nonexperimental Estimators?,” J. Econometrics 125 (March-April 2005), 305-353.

Angrist, Joshua D., “Estimating the Labor Market Impact of Voluntary Military Service Using Social Security Data on Military Applicants,” Econometrica, March 1998.

C. School Inputs, Peer Effects, and Incentives

J. Angrist and V. Lavy, "Using Maimonides' Rule to Estimate the Effect of Class Size on Student Achievement," Quarterly Journal of Economics, May 1999.

A. Krueger, „Experimental Estimates of Education Production Functions,” QJE, May 1999.

J. Angrist and J. Guryan, “Does Teacher Testing Raise Teacher Quality? Evidence from State Certification Requirements,” Economics of Education Review, October 2008.

J. Angrist, E. Bettinger, E. Bloom, E. King., M. Kremer, “Vouchers for Private Schooling in Colombia: Evidence from a Randomized Natural Experiment,” American Economic Review, December 2002.

E. Duflo, “Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment,” AER 2001, 795-813.

Peer Effects

J. Angrist and D. Acemoglu, “How Large are the Social Returns to Education? Evidence From Compulsory Attendance Laws,” NBER Macro Annual 15, 2000.

J. Angrist and K. Lang, “Does School Integration Generate Peer Effects? Evidence from Boston‟s Metco Program,” AER, December 2004.

E. Gould, V. Lavy, M.D. Paserman, “Does Immigration Affect the Long-Term Educational Outcomes of Natives? Quasi-Experimental Evidence,” Hebrew University Department of Economics, mimeo, July 2008.

V. Lavy, and A. Schlosser, “Mechanisms and Impacts of Gender Peer Effects at School,” NBER Working Paper 13292, September 2007.

E. Duflo, P. Dupas, and M. Kremer, “Peer Effects and the Impact of Tracking,” MIT mimeo, June 2008.

Incentives

J. Angrist and V. Lavy, “The Effect of High School Matriculation Awards: Evidence from Randomized Trials,‟ AER, 2009.

J. Angrist and P. Oreopoulos, “Incentives and Services for College Achievement: Evidence from a Randomized Trial,” American Economic Journal: Applied Economics, 2009.

M. Kremer, E. Miguel, and R. Thornton, “Incentives to Learn,” forthcoming in The Review of Economics and Statistics.

Discrimination and Demographic Differentials

Theories of discrimination

* Gary S. Becker, The Economics of Discrimination, 2nd edition, University of Chicago Press, Chicago, 1971.

K. Arrow (1973) “The Theory of Discrimination”, in O. Ashenfelter and A. Rees, eds., Discrimination in the Labor Markets, Princeton University Press, pp. 3-33.

*Dennis J. Aigner and Glen G. Cain, "Statistical Theories of Discrimination in the Labor Market," Industrial and Labor Relations Review, April 1977, pp. 175-87.

S. Lundberg, and R. Startz (1983) “Private Discrimination and Social Intervention in Competitive Labor Markets” American Economic Review (June).

*J.G. Altonji, and R.M. Blank (1999) “Race and Gender in the Labor Market” in O. Ashenfelter and D. Card (eds.), Handbook of Labor Economics, Volume 3C, Chapter 48, Amsterdam: North Holland, 1999, pp. 3143-3260.

D.A. Black (1995) “Discrimination in an Equilibrium Search Model”, Journal of Labor Economics 13, no.2 (April), 309-34.

Becker, Treatise on the Family, Supplement to Ch. 2: "Human Capital, Effort, and the Sexual Division of Labor," 54-79.

Heidi I. Hartmann, "Capitalism, Patriarchy, and Job Segregation by Sex," Signs: Journal of Women in Culture and Society, Vol. 1, No. 2, pt. 2, Spring 1976, 137-70.

William A. Darity, Jr and Rhonda M. Williams, "Peddlers Forever? Culture, Competition, and Discrimination," American Economic Review. Vol. 75 No. 2, May 1985, pp. 256-61.

Michael Reich, Racial Inequality, Princeton University Press, 1981.

Barbara Bergmann, "The Effect on White Incomes of Discrimination in Employment," Journal of Political Economy, March/April 1971.

Empirical work on gender differentials

*Claudia Goldin and Cecilia Rouse, "Orchestrating Impartiality: The Impact of "Blind" Auditions on Female Musicians,"AER, Sept. 2000, 715-741.

*Francine Blau and Lawrence M. Kahn (2000) “Gender Differences in Pay”, Journal of Economic Perspectives, 14 (Fall): 75-99.

*Francine Blau and Marianne Ferber (1987) “Discrimination: Empirical Evidence from the United States”, American Economic Review (may): 316-320.

Judith K. Hellerstein, David Neumark, and Kenneth R. Troske (1990) “Wages, Productivity, and Worker Characteristics: Evidence from Plant-Level Production Functions and Wage Equations”, Journal of Labor Economics 17,2(July): 409-46.

*David Neumark, with assistance of Roy J. Blank and Kyle D. Van Nort (1996) “Sex Discrimination in Restaurant Hiring: An Audit Study”, Quarterly Journal of Economics (August): 915-42.

M. V. Lee Badgett, "The Wage Effects of Sexual Orientation Discrimination," Industrial and Labor Relations Review, Vol. 48, No. 4, 1995, 726-739.

Blau, Francine D., Lawrence M. Kahn (1997) “Swimming Upstream: Trends in Gender and Wage Differentials in the 1980s”, Journal of Labor Economics, 15,1 (Jan.): 1-42.

Doris Weichselbaumer, “Is It Sex or Personality? The Impact of Sex Stereotypes on Discrimination in Applicant Selection” Eastern Economic Journal, Spring 2004, v. 30, iss. 2, pp. 159-86

Importing Equality? The Impact of Globalization on Gender Discrimination ; By Black, Sandra E.; Brainerd, Elizabeth; Industrial and Labor Relations Review, July 2004, v. 57, iss. 4, pp. 540-59

Francine Blau, “Trends in the Well-Being of American Women, 1970-95,” Journal of Economic Literature, March 1998.

Joni Hersch and Leslie S. Stratton, "Housework, Fixed Effects, and Wages of Married Workers," Journal of Human Resources, Vol. 32, No. 2, 1997, 285-307.

David Neumark and Michele McLennan, "Sex Discrimination and Women's Labor Market Outcomes," Journal of Human Resources. Vol. 30, No. 4. Fall 1995, pp. 713-40.

Erica L. Groshen, "The Structure of the Female/Male Wage Differential: Is It Who You Are, What You Do, or Where You Work?" Journal of Human Resources, Summer 1991, pp. 457-72.

C. Mulligan and Y. Rubinstein, “Selection, Investment, and Women‟s Relative Wages Over Time,” The Quarterly Journal of Economics 123 (2008).

Jacob Mincer and Solomon Polachek, "Family Investments in Human Capital: Earnings of Women," Journal of Political Economy, Vol. 82, No. 2, pt. 2, 1974, pp. S76-S108.

Robert G. Wood, Mary E. Corcoran, and Paul N. Courant, "Pay Differences Among the Highly Paid: The Male-Female Earnings Gap in Lawyers' Salaries," Journal of Labor Economics, Vol. 11, No. 3, 1993, pp. 417-441.

June O'Neill and Solomon Polachek, "Why the Gender Gap in Wages Narrowed in the 1980s," Journal of Labor Economics, Vol. 11, No. 1, pt. 1, 1993, pp. 205-228.

David E. Bloom and Mark R. Killingsworth, "Pay Discrimination Research and Litigation: The Use of Regression," Industrial Relations, Vol. 21, No. 3, Fall 1982, 318-339.

*Waldfogel, Jane (1998) “The Family Gap for Young Women in the United States and Britain: Can Maternity Leave Make a Difference?”, Journal of Labor Economics 16:505-45.

Bertrand, Marianne, and Kevin F. Hallock (2001) “The Gender Gap in Top Corporate Jobs”, Industrial and Labor Relations Review 55 (October): 3-21.

Goldin, Claudia (1997) “Exploring the Present Through the Past: Career and Family Across the Last Century”, American Economic Review 87 (May): 396-99.

*Goldin, Claudia and Lawrence Katz (2000) “Career and marriage in the Age of the Pill”, American Economic Review 90,2 (May):461-75.

Hamermesh, Daniel and Jeffrey Biddle (1994) “Beauty and the Labor Market”, American Economic Review 84 (December):416-94.

Empirical work on race differentials

*Marianne Bertrand and Sendhil Mullainathan, “Are Emily and Greg More Employable than Lakisha and Jamal? A Field Experiment on Labor Market Discrimination.” American Economic Review, September 2004, v. 94, iss. 4, pp. 991-1013.

*Neal, Derek and William R. Johnson (1996) “The Role of Pre-Market Factors in the Black/White Wage Gap”, Journal of Political Economy (October).

*Chinhui Juhn; Murphy, Kevin M. "Wage Inequality and Family Labor Supply," Journal of Labor Economics. Vol. 15 (1). p 72-97. Part 1 January 1997.

Heckman, James J., Thomas M. Lyons, and Petra E. Todd (2000) “Understanding Black-White Wage Differentials, 1960-1990”, American Economic Review 90,2 (May):344-9.

Chandra, Amitabh (2000) “Labor-Market Dropouts and the Racial Wage Gap: 1940-90”, American Economic Review 90,2 (May): 333-8.

Currie, Janet and Duncan Thomas (1999) “The Intergenerational Transmission of „Intelligence‟: Down the Slippery Slopes of The Bell-Curve”, Industrial Relations 38, 3 (July): 297-330.

Dickens, William T. and Thomas J. Kane (1999) “Racial Test Score Differences as Evidence of Reverse Discrimination: Less than Meets the Eye”, Industrial Relations, 38, 3 (July): 331-63.

Loury, Glenn C. (1998) “Discrimination in the Post-Civil Rights Era: Beyond Market Interactions”, Journal of Economic Perspectives 12: 117-26.

Duleep, Harriet and Seth Sanders (1992) “Discrimination at the Top: American-Born Asian and White Men”, Industrial Relations 31 (Fall): 416-32.

Neal, Derek, “The Measured Black-White Wage Gap Among Women is Too Small”, Journal of Political Economy.

Joseph G. Altonjji and Charles R. Pierret, “Employer Learning and Statistical Discrimination”, Quarterly Journal of Economics, February 2001, v. 116, iss. 1, pp. 313-50

M. Turner, R. Struyk, and J. Yinger, Opportunities Denied, Opportunities Diminished: Discrimination in Hiring, Urban Institute Press, 1991.

Michael Fix and Raymond J. Struyk, editors. Clear and convincing evidence: measurement of discrimination in America, Urban Institute Press, Washington, D.C., 1993.

Harry Cross, et al., Employer Hiring Practices: Differential Treatment of Hispanic and Anglo Job Seekers, Urban Institute Press, Washington, D.C., 1990.

George Borjas and Steven Bronars, “Consumer Discrimination and Self-Employment,” Journal of Political Economy, Vol. 97, June 1989, pp. 581-605.

Chinhui Juhn, Kevin M. Murphy, and Brooks Pierce, "Accounting for the Slowdown in Black-White Wage Convergence," in Workers and their wages: Changing patterns in the United States. Kosters, Marvin H., ed., Washington, D.C.: AEI Press, 1991, pp. 107-43.

John Bound and Harry J. Holzer, "Industrial Shifts, Skills Levels, and the Labor Market for White and Black Males," Review of Economics & Statistics. Vol. 75, No. 3, August 1993, pp. 387-96.

David Card and Alan B. Krueger, "School Quality and Black-White Relative Earnings: A Direct Assessment," The Quarterly Journal of Economics. Vol. 107, No. 1. February 1992, pp. 151-200.

John Bound, and Richard B. Freeman, "What Went Wrong? The Erosion of Relative Earnings and Employment among Young Black Men in the 1980s," The Quarterly Journal of Economics. Vol. 107, No. 1. February 1992, pp. 201-32.

Steven Shulman, "Discrimination, Human Capital, and Black-White Unemployment: Evidence from Cities," Journal of Human Resources, Vol. 22, No. 3, 1987.

Gender and Race

W.A. Darity, and P.L. Mason (1998) “Evidence on Discrimination in Employment: Codes of Color, Codes of Gender”, Journal of Economic Perspectives, 12 (Spring): 63-90.

Blau, Francine and A. Beller (1992) “Black-White Earnings Over the 1970s and 1980s Gender Differences in Trends”, Review of Economics and Statistics 74 (May).

Mary C. King, "Occupational Segregation by Race and Sex, 1940-88," Monthly Labor Review, April 1992, pp. 30-37.

J. Cunningham and N. Zalokar, “The Economic Progress of Black Women, 1940-1980: Occupational Redistribution and Relative Wages,” Industrial and Labor Relations Review, April 1992.

M. V. Lee Badgett and Rhonda M. Williams, "The Changing Contours of Discrimination: Race, gender, and structural economic change," in Understanding American Economic Decline, ed. by Michael A. Bernstein and David E. Adler, Cambridge University Press, Cambridge, 1994, pp. 313-329.

Impact of Government Programs

James P. Smith and Finis R. Welch, "Black Economic Progress after Myrdal," Journal of Economics Literature, Vol. 27, No. 2, June 1989, pp. 519-564.

*John J. Donohue III and James Heckman, "Continuous vs. Episodic Change: The Impact of Civil Rights Policy on the Economic Status of Blacks," Journal of Economic Literature, Vol. 29, No. 4, December 1991, 1603-1643.

*Kurtulus, Fidan Ana (2010) “The Impact of Affirmative Action on the Employment of Minorities and Women Over Three Decades: 1973-2003”, University of Massachusetts Working Paper.

*Kurtulus, Fidan Ana (2010) “Affirmative Action and the Occupational Advancement of Minorities and Women During 1973-2003, University of Massachusetts Working Paper.

*Harry Holzer and David Neumark, “Assessing Affirmative Action” Journal of Economic Literature, September 2000, v. 38, iss. 3, pp. 483-568

---, “What Does Affirmative Action Do?” Industrial and Labor Relations Review, January 2000, v. 53, iss. 2, pp. 240-71

-----, “Are Affirmative Action Hires Less Qualified? Evidence from Employer-Employee Data on New Hires” Journal of Labor Economics, July 1999, v. 17, iss. 3, pp. 534-69.

Jonathan S. Leonard, "What Promises Are Worth: The Impact of Affirmative Action Goals," Journal of Human Resources, Vol. 20, No. 1, 1985.

---, "The Impact of Affirmative Action on Employment," Journal of Labor Economics, Vol. 2, No. 4, 1984.

*Myers, Caitlin K. “A Cure for Discrimination? Affirmative Action and the Case of California‟s Proposition 209”, Industrial and Labor Relations Review, Vol. 60, No. 3 (April 2007), pp. 379-396.

Kenneth Y. Chay, “The Impact of Federal Civil Rights Policy on Black Economic Progress: Evidence from the Equal Employment Opportunity Act of 1972” Industrial and Labor Relations Review, July 1998, v. 51, iss. 4, pp. 608-32

James P. Smith and Finish Welch, "Affirmative Action and Labor Markets," Journal of Labor Economics, Vol. 2, No. 2, 1984.

Coate, Stephen and Glenn Loury (1993) “Will Affirmative-Action Policies Eliminate Negative Stereotypes?” American Economic Review 83 (Dec.): 1220-40.

Earnings Inequality

*Katz, Lawrence F., and David H. Autor (1999) “Changes in the Wage Structure and Earnings Inequality” in Handbook of Labor Economics, Vol. 3A, Orley C. Ashenfelter and David Card (eds.), Amsterdam: Elsevier), pp. 1463-555.

*Juhn, Chnhui, Kevin Murphy, and Brooks Pierce (1993) “Wage Inquality and the Rise in the Returns to Skill”, Journal of Political Economy 101 (June): 410-442.

*Blau, Francine D. and Lawrence M. Kahn (1996) “International Differences in Male Wage Inequality: Institutions and Market Forces”, Journal of Political Economy (Aug.): 791-837.

* Francine Blau and Lawrence M. Kahn (2006) “The US Gender Pay Gap in the 1990s: Slowing Convergence,” Industrial & Labor Relations Review, Vol. 60, No. 1.

*Lawrence F. Katz and Kevin M. Murphy. "Changes in Relative Wages, 1963-1987: Supply and Demand Factors," The Quarterly Journal of Economics. Vol. 107, No. 1, February 1992, pp. 35-78.

*DiNardo, John, Nicole M. Fortin, and Thomas Lemieux (1996) “Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Apporach”, Econometrica 64,5 (Sept.):1001-44.

Fortin, Nicole M. and Thomas Lemieux (1997) “Institutional Changes and Rising Wage Inequality: Is There a Linkage?”, Journal of Economic Perspectives, 11, 2 (Spring):75-96.

Frank Levy and Richard J. Murnane, "U.S. Earnings Levels and Earnings Inequality: A Review of Recent Trends and Proposed Explanations," Journal of Economic Literature, Vol. 30, No. 3, September 1992.

Levy, Frank (1995) “The Growing Importance of Cognitive Skills in Wage Determination”, The Review of Economics and Statistics, 77 (May):251-66.

Blau, Francine D., and Lawrence M. Kahn, “Institutions and Laws in the Labor Market”, in Orley Ashenfelter and David Card (eds.), Handbook of Labor Economics, Vol. 3A, Chapter 25, pp. 1399-1461.

Blau, Francine D., and Lawrence M. Kahn “Do Cognitive Test Scores Explain Higher US Wage Inequality”, Review of Economics and Statistics.

Peter Gottschalk and Timothy M. Smeeding, "Cross-National Comparisons of Earnings and Income Inequality," Journal of Economic Literature, Vol. 35, no. 2, June 1997, 633-687.

Kevin M. Murphy and Finis Welch. "The Structure of Wages," The Quarterly Journal of Economics. Vol. 107, No. 1, February 1992, pp. 285-326.

David Card and Thomas Lemieux, “Can Falling Supply Explain the Rising Return to College for Younger Men? A Cohort-Based Analysis” Quarterly Journal of Economics, May 2001, v. 116, iss. 2, pp. 705-46.

Juhn, Chinhui, Kevin Murphy and Brooks Pierce (1991) “Accounting for the Slowdown in Black-White Wage Convergence”, in Marvin H. Kosters, ed., Workers and Their Wages, AEI Press: 107-143.

D. Autor, L. Katz, and M. Kearney, “Trends in U.S. Wage Inequality: Re-Assessing the Revisionists,” The Review of Economics and Statistics, May 2008.

W. Kopczuk, E. Saez, and J. Song, “Uncovering the American Dream: Inequality and Mobility in Social Security Earnings Data since 1937,” NBER Working Paper 13345, August 2007.

T. Lemieux, “The Changing Nature of Wage Inequality,” NBER Working Paper No. 13523, October 2007.

Technology:

David Autor, Frank Levy, and Richard J Murnane, “The Skill Content of Recent Technological Change: An Empirical Exploration”, Quarterly Journal of Economics, November 2003, v. 118, iss. 4, pp. 1279-1333.

Daron Acemoglu, “Technical Change, Inequality, and the Labor Market” Journal of Economic Literature, March 2002, v. 40, iss. 1, pp. 7-72

Eli Berman, John Bound, and Zvi Griliches. "Changes in the Demand for Skilled Labor within U.S. Manufacturing: Evidence from the Annual Survey of Manufactures," The Quarterly Journal of Economics. Vol. 109, No. 2, May 1994, pp. 367-97.

John Bound and George Johnson. "Changes in the Structure of Wages in the 1980's: An Evaluation of Alternative Explanations," American Economic Review. Vol. 82, No. 3. June 1992, pp. 371-92.

Goldin, Claudia and Lawrence F. Katz (1996) “Technology, Human Capital, and the Wage Structure”, American Economic Review (May): 252-257.

Alan B. Krueger, "How Computers Have Changed the Wage Structure: Evidence from Microdata, 1984- 1989," The Quarterly Journal of Economics. Vol. 108, No. 1, February 1993, pp. 33-60.

Autor, David, Lawrence F. Katz, and Alan B. Krueger, 1998. “Computing Inequality: Have Computers Changed the Labor Market?” QJE, 113, No. 4, 1169-1214.

John E. DiNardo and Jorn-Steffen Pischke, “The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?” Quarterly Journal of Economics, February 1997, v. 112, iss. 1, pp. 291-303.

Peter Kuhn and Catherine Weinberger, “Leadership Skills and Wages,” Discussion Paper No. 482 April 2002, IZA, http://ssrn.com/abstract_id=310372

Trade:

George Borjas, Richard Freeman, Lawrence Katz, “How Much Do Immigration and Trade Affect Labor Market Outcomes?” Brookings Papers on Economic Activity, 1997, v. 0, iss. 1, pp. 1-67

Wood, Adrian (1998) “Globalisation and the Rise in Labour Market Inequalities” Economic Journal 108 (Sept.):1463-1482.

Robert C. Feenstra, Gordon H. Hanson, “The Impact of Outsourcing and High-Technology Capital on Wages: Estimates for the United States, 1979-1990” Quarterly Journal of Economics, August 1999, v. 114, iss. 3, pp. 907-40.

Richard B. Freeman, “Are Your Wages Set in Beijing?” Journal of Economic Perspectives, Vol. 9, No. 3, Summer 1995, 15-32.

Institutions: David S. Lee, “Wage Inequality in the United States during the 1980s: Rising Dispersion or Falling Minimum Wage?” Quarterly Journal of Economics, August 1999, v. 114, iss. 3, pp. 977-1023

Nicole M. Fortin and Thomas Lemieux. “Institutional Change and Rising Wage Inequality: Is There a Linkage?” JEP. Vol. 11, No. 2, spring 1997, 75-96.

David Card, Thomas Lemieux, and W. Craig Riddell, “Unions and Wage Inequality” Journal of Labor Research, Fall 2004, v. 25, iss. 4, pp. 519-62

John DiNardo, Nicole M. Fortin, and Thomas Lemieux. “Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach,” Econometrica, Vol. 11, No. 2, Spring 1997, 75-96.

David Howell, “Theory-Driven Facts and the Growth in Earnings Inequality,” Review of Radical Political Economics, Vol. 31, NO. 1, Winter 1999 54-86.

Edward N. Wolff, Skills, Computerization, and Earnings in the Postwar US Economy,” Levy Institute Working Paper No. 331, May 2001.

Internal Labor Markets

Wage and Promotion Dynamics

*R. Gibbons and M. Waldman (1999) "Careers in Organizations: Theory and Evidence," in the Handbook of Labor Economics, vol. 3B, O. Ashenfelter and D. Card, eds., North Holland.

M. Waldman (2010) “Theory and Evidence in Internal Labor Markets,” Forthcoming Handbook of Organizational Economics.

M. Waldman (1984) “Job Assignments, Signalling and Efficiency,” Rand Journal of Economics, 15, Summer, pp. 255-267.

* G. Baker, M. Gibbs, and B. Holmstrom (1994) "The Internal Economics of the Firm: Evidence from Personnel Data" Quarterly Journal of Economics, pp. 881-919.

M. Harris and B. Holmstrom (1982) "A Theory of Wage Dynamics" RESTUD 49, 315-33.

M. Bertrand. (2004) “From the Invisible Handshake to the Invisible Hand? How Import Competition Changes the Employment Relationship," J. of Labor Economics 22 (Oct), 723-65.

P. Beaudry and J. DiNardo. (1991) "The Effect of Implicit Contracts on the Movement of Wages over the Business Cycle: Evidence from Micro Data," JPE 99 (August), 665-88.

Incentives and Wage Determination: Basic Agency Models, Relative Performance, Teams

* B. Holmstrom. (1979) "Moral Hazard and Observability," Bell Journal of Economics, 10.1 (Spring), 74- 91.

* E. Lazear and S. Rosen. (1981) "Rank-Order Tournaments as Optimum Labor Contracts,"Journal of Political Economy, 89 (October), 841-864.

* E. Lazear (2000), "Performance Pay and Productivity," AER 90 (December), 1346-61.

* C. Prendergast. (2000) The Tenuous Tradeoff Between Risk and Incentives," Journal of Political Economy 110 (October), 1071-1102.

*Kurtulus, Fidan Ana and Jed DeVaro (2010) “An Empirical Analysis of Risk, Incentives, and the Delegation of Worker Authority” Industrial and Labor Relations Review (July).

* O. Bandiera, I. Barankay, and I. Rasul (2005) “Social Preferences and the Response to Incentives,” QJE 120 (August), 917-62.

* A. Mas (2006), “Pay, Reference Points and Police Performance,” QJE 121 (August), 783-821.

B. Holmstrom and P. Milgrom. (1987) “Aggregation and Linearity in Provision of Intertemporal Incentives,” Econometrica 55 (March), 303-28.

B. Holmstrom. (1982) “Moral Hazard in Teams,” Bell Journal of Economics 13 (Autumn).

E. Lazear. (1999) “Output-Based Pay: Incentives or Sorting?@ NBER Working Paper No. 7419.

E. Lazear. (2004) “The Peter Principle: Promotions and Declining Productivity,@ Journal of Political Economy 112 (S1), S141-S163.

*O. Bandiera, I. Barankay, and I. Rasul (2007), “Incentives for Managers and Inequality among Workers: Evidence from a Firm-Level Experiment,” QJE 122 (May), 729-773.

C. Prendergast (1999) "The Provision of Incentives within Firms," JEL 37, 7-63.

G. Baker, R. Gibbons, and K.J. Murphy (1994) "Subjective Performance Measures in Optimal Incentive Contracts," QJE 109 (November), 1125-56.

G. Baker (1992) “Incentive Contracts and Performance Measurement”, Journal of Political Economy 100:598-614.

B. Holmstrom and Paul Milgrom (1991) “Multitask Principal-Agent Analyses: Incentive Contracts, Asset Ownership, and Job Design”, Journal of Law, Economics, and Organization, 7: 24-52.

E. Lazear. (1979) "Why is there Mandatory Retirement?" JPE, 87.6 (December), 1261-1284.

P. Oyer. (1998) "Fiscal Year Ends and Nonlinear Incentive Contracts," QJE (Feb) 113, 149-85.

B. Shearer. (2004) “Piece Rates, Fixed Wages and Incentives: Evidence from a Field Experiment,” Review of Economic Studies 71, 513-34.

R. Ehrenberg and M. Boganno. (1990) “Do Tournaments Have Incentive Effects?,” JPE.

E. Lazear. (1989) “Pay Equality and Industrial Politics,” JPE 97 (June), 561-80.

C. Ichniowski, K. Shaw, and G. Prennushi (1997) "The Effects of Human Resource Management Practices on Productivity," American Economic Review 87, 291-313.

C. Ichniowski and K. Shaw (2003), "Beyond Incentive Pay: Insiders‟ Estimates of the Value of Complementary Human Resource Management Policies," JEP (Winter).

Hamilton, Barton H., Jack A. Nickerson, and Hideo Owan. 2004. “Diversity and Productivity in Production Teams”. Washington University in St. Louis Olin School of Business Working Paper.

Kandel, Eugene, and Edward P. Lazear. 1992. “Peer Pressure and Partnerships”. Journal of Political Economy, Vol. 100, No. 4 (August), pp. 801-817.

Kurtulus, Fidan Ana. 2010 “The Effect of Dissimilarity on the Performance of Employees”, University of Massachusetts Amherst Working Paper.

E. Fehr and S. Gachter. (2000) "Fairness and Retaliation: The Economics of Reciprocity," Journal of Economic Perspectives 14 (Summer), 159-81.

U. Gneezy and J. List. (2006) “Putting Behavioral Economics to Work: Field Evidence on Gift Exchange,” Econometrica 74 (September), 1365-84.

U. Gneezy and A. Rustichini. (2000) “Pay Enough or Don‟t Pay at All,” QJE 115 (August).

D. Ariely et al. (2009), “Large Stakes and Big Mistakes,” RESTUD 76, no. 2.

A. Mas and E. Moretti. (2009), “Peers at Work,” AER 99 (March), 112-45.

O. Bandiera, I. Barankay, and I. Rasul, (2010) “Social Incentives in the Workplace,” RESTUD, 77,2: 417- 458.

* M. Bertrand and S. Mullainathan. (2001) “Are CEOs Rewarded for Luck? The Ones without Principals Are”, Quarterly Journal of Economics 116 (August), 901-932.

M Bertrand. (2009) “CEOs,” Annual Review of Economics, 1:121-150.

U. Malmendier and G. Tate. (2008) “Superstar CEOs,” NBER WP No. 14140; QJE, forthcoming.

L. Bebchuk and J.M. Fried. (2003) “Executive Compensation as an Agency Problem”, JEP 17.

X. Gabaix and A. Landier. (2008) "Why Has CEO Pay Increased So Much?," QJE 123, 49-100.

Employee Participation and Ownership

* D.L. Kruse, R.B. Freeman and J.R.Blasi (eds.) (2010) Shared Capitalism at Work: Employee Ownership, Profit and Gain Sharing, and Broad-based Stock Options, Chicago and London: University of Chicago Press (University of Chicago Press), available at http://www.nber.org/books/krus08-1, Introduction and Chapters 1 and 2.

Joseph Blasi, Douglas Kruse, and Richard Freeman (2006) “The Changing Nature of Worker Ownership, Stock Options, and Profit Sharing in Corporate America” in The New American Workplace, by Edward Lawler andJ ames O‟Toole (eds.) Palgrave Macmillan Publishers, 2006.

Blasi, Joseph, and Douglas Kruse (2008) “An Early Case Study in Shared Capitalism: The Pillsbury Story”, Journal of Employee Ownership Law and Finance, 20,2.

Kurtulus, Fidan, Douglas Kruse and Joseph Blasi (2010) “Worker Attitudes Towards Different Forms of Employee Ownership and Variable Pay”, University of Massachusetts Amherst Working Paper.

Milgrom, Paul and John Roberts (1992) Economics, Organization, and Management. Englewood Cliffs, NJ: Prentice Hall. Pp.288-306, 313-321.

*Putterman, Louis. (1996) “Ownership and the Nature of the Firm”, in Putterman/Kroszner, The Economic Nature of the Firm, 1996, pp. 361-369.

Alchian, Armen, and Harold Demsetz (1996) “Production, Information Costs, and Economic Organization” in Putterman/Kroszner, 1996, pp. 193-216.

Louis Putterman (1986) “On Some Recent Explanations of Why Capital Hires Labor”, in Putterman, The Economic Nature of the Firm (1986 edition), pp. 312-328.

Putterman, Louis and Gil Skillman, Jr (1988) “The Incentive Effects of Monitoring Under Alternative Compensation Schemes”, International Journal of Industrial Organization, 6, pp. 109-119.

Dow, Gregory (2003) Governing the Firm: Workers‟ Control in Theory and Practice. Cambridge, UK: Cambridge University Press. Chapter 5.

*Weitzman, Martin and Douglas Kruse (1996) “Profit Sharing and Productivity” in Putterman and Kroszner, 1996.

*Kruse, Douglas (1991). “Profit Sharing and Productivity: Microeconomic Evidence from the United States”, Economic Journal, Vol. 102, No. 410 (Jan.), pp. 24-36.

*Kruse, Douglas (1992). “Profit-Sharing and Employment Variability: Microeconomic Evidence on the Weitzman Theory”, Industrial and Labor Relations Review, Vol. 44, No. 3 (April), pp. 437-453.

*Ben-Ner, Avner and Derek C. Jones (1995) “Employee Participation, Ownership, and Productivity: A Theoretical Framework”, Industrial Relations, 34, 4, pp. 532-54.

Kruse, Douglas (1993) Profit Sharing: Does it Make a Difference?, Kalamazoo, MI: W.E. Upjohn Institute for Employment Research.

*Park, Rhoekun, Douglas Kruse, and James Sesil (2004) “Does Employee Ownership Enhance Firm Survival” in V.Perotin and A. Robinson (eds.) Advances in the Economic Analysis of Participatory and Self-managed Firms, Vol. 8, Greenwich, CN: JAI Press.

*Bonin, John, Derek Jones, and Louis Putterman (1993) “Theoretical and Empirical Studies of Producer Cooperatives: Will Ever the Twain Meet?”, Journal of Economic Literature, 31, 3 (Sept.): 1290-320.

Bonin, John, and Louis Putterman (1987) Economics of Cooperation and Labor Managed Companies. New York: Cambridge University Press.

Craig, Ben and John Pencavel (1992). “The Behavior of Worker Cooperatives: The Plywood Companies of the Pacific Northwest”, The American Economic Review, Vol. 82, No. 5 (Dec., 1992), pp. 1083-1105.

*J. Pencavel and B. Craig (1994) “The Empirical Performance of Orthodox Models of the Firm: Conventional Firms and Worker Cooperatives”, Journal of Political Economy (August), 718-744.

Craig, Ben, John Pencavel, Henry Farber and Alan Krueger (1995), “Participation and Productivity: A Comparison of Worker Cooperatives and Conventional Firms in the Plywood Industry”, Brookings Papers on Economic Activity. Microeconomics, Vol. 1995, (1995), pp. 121-174

Pencavel, John, Luigi Pistaferri and Fabiano Schivardi “Wages, Employment, and Capital in Capitalist and Worker-Owned Firms”, Industrial and Labor Relations Review, Vol. 60, No. 1 (Oct., 2006), pp. 23-44

Mobility in the Labor Market

*H.S. Farber. (1999) A Mobility and stability: the dynamics of job change in labor markets, in the Handbook of Labor Economics, Vol. 3B, O. Ashenfelter and D. Card, eds. Amsterdam: Elsevier.

*B. Jovanovic (1979) "Job Matching and the Theory of Turnover" Journal of Political Economy, 87.5 (October), 972-990.

*R. Topel (1991) "Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority," Journal of Political Economy, 99.1 (February), 145-167.

* R. Topel and M. Ward. (1992) "Job Mobility and the Careers of Young Men," Quarterly Journal of Economics, 107.2 (May), 439-480.

C. Flinn (1986) "Wages and Mobility of Young Workers," JPE 94 (June), S88-S110.

B. Jovanovic (1979) "Firm-Specific Capital and Turnover" Journal of Political Economy, 87.6 (December), 1246-60.

Mortensen, Dale T., and Christopher A. Pissarides, “New Developments in Models of Search in the Labor Market”, in Orley Ashenfelter and David Card (eds.), Handbook of Labor Economics, Vol. 3B, Chapter 39: pp. 2567-2628.

D. Neal. (1998) AThe Complexity of Job Mobility Among Young Men,@ Journal of Labor Economics 17 (April), 237-61.

B. McCall. (1990) "Occupational Matching: A Test of Sorts" Journal of Political Economy, 98.1 (February), 45-69.

E. Lazear. (2003) AFirm-Specific Human Capital: A Skill-Weights Approach,@ NBER WP 9679.

S. Woodcock. (2008) “Wage Differentials in the Presence of Unobserved Worker, Firm, and Match Heterogeneity,” Labour Economics 15(4), (August), 771-793.

J. Abowd, F. Kramarz, and S. Woodcock. (2006) A Econometric Analysis of Linked Employer- Employee Data,” http://www.sfu.ca/~swoodcoc/papers/akwchaprev4a.pdf.

J. Altonji and N. Williams (2004), "Do Wages Rise with Job Seniority: A Reassessment," ILRR, forthcoming; http://www.econ.yale.edu/~jga22/website/research.htm

H. Farber. (2007) “Is the Company Man an Anachronism? Trends in Long-Term Employment in the U.S., 1973-2006”, Princeton IRS WP 518; http://www.irs.princeton.edu/pubs/pdfs/518.pdf

T. Von Wachter, J. Song, and J. Manchester. (2009) “Long-Terms Earnings Losses due to Mass Layoffs during the 1982 Recession: An Analysis Using U.S. Administrative Data from 1974 to 2004,” http://www.columbia.edu/~vw2112/papers/mass_layoffs_1982.pdf

*R. Gibbons and L. Katz. (1991) "Layoffs and Lemons," Journal of Labor Economics, 9.4 (October), 351-380. (also NBER Working Paper No. 2968, May 1989)

D. Autor. (2001) AWhy Do Temporary Help Firms Provide Free General Skills Training? Quarterly Journal of Economics 116 (November), 1409-48.

I. Marinescu. (2009) “Job Security Legislation and Job Duration: Evidence from the United Kingdom,” Journal of Labor Economics 27, no. 3.

Minimum Wages

*C. Brown, “Minimum Wages, Employment, and the Distribution of Income”, Chapter 32 in O. Ashenfelter and D. Card [eds.] Handbook of Labor Economics, Volume 3, 1999.

*D. Card, Using Regional Variation to Measure the Effect of the Federal Minimum Wage,” Industrial and Labor Relations Review, October 1992.

*D. Card and A. Krueger Myth and Measurement: The New Economics of the Minimum Wage, Princeton: Princeton University Press, 1995, Chapters 1, 2, 11.

*Card, David and Alan Krueger (1994) “Minimum Wages and Employment: A Case Study of the Fast-Food Industry in New Jersey and Pennsylvania”, American Economic Review, 84, 4 (Sept.): 772-793.

Ehrenberg, Ronald (1992) “New Minimum Wage Research: Symposium Introduction”, Industrial and Labor Relations Review 46 (Oct), pp. 3-5.

Katz, Lawrence and Alan Krueger (1992), “The Effect of the Minimum Wage on the Fast Food Industry”, Industrial and Labor Relations Review 46 (Oct): 6-21.

*Card, David (1992) “Do Minimum Wages Reduce Employment? A Case Study of California, 1987-89”, Industrial and Labor Relations Review 46 (Oct):38-54.

*Neumark, David and W. Wascher (1992) “Employment Effects of Minimum and Subminimum Wages Panel Data on State Minimum Wage Laws”, Industrial and Labor Relations Review 46 (Oct): 55-81.

*Card, David, Lawrence Katz, and Alan Kureger (1994) “Comment on David Neumark and William Wascher, “Employment Effects of Minimum and Subminimum Wages: Panel Data on State Minimum Wage Laws”, Industrial and Labor Relations Review (April): 487-96.

*Neumark, David and W. Wascher (1994) “Employment Effects of Minimum and Subminimum Wages: Replay to Card, Katz, and Krueger”, Industrial and Labor Relations Review (April): 497-512.

Donald Deere, Kevin M. Murphy, and Finis Welch (1995) “Employment and the 1990-1991 Minimum- Wage Hike”, American Economic Review, 85, 2 (May): 232-37.

J. Kennan, "The Elusive Effects of Minimum Wages," Journal of Economic Literature , 33[4], December 1995, 1949-1965.

R. Dickens, S. Machin and A. Manning, "The Effects of Minimum Wages on Employment: Theory and Evidence From Britain", Journal of Labor Economics, 17[1], January 1999, 1-22.

Manning, Alan, Monopsony in Motion: Imperfect Competition in Labor Markets, Princeton University Press, 2003.

Unions

R. Freeman and J. Medoff, What Do Unions Do?, Basic Books, 1985.

H. Gregg Lewis, Union Relative Wage Effects: A Survey, Chicago: University of Chicago Press, 1986.

*Farber, Henry. "The Analysis of Union Behavior," In Orley Ashenfelter and Richard Layard (eds), The Handbook of Labor Economics, Volume II, 1986.

J.N. Brown and O.C. Ashenfelter, “Testing the Efficiency of Employment Contracts,” Journal of Political Economy 1986, S40-S87.

*G. Jakubson, “Estimation and Testing of the Union Wage Effect Using Panel Data,” Review of Economic Studies, 1991, 971-91.

J. DiNardo and D.S. Lee, “Economic Impacts of New Unionization on US Private Sector Employers: 1984-2001,” QJE 119 (2004), 1383-1442.

*A. Krueger and A. Mas, “Strikes, Scabs, and Tread Separations: Labor Strife and the Production of Defective Bridgestone/Firestone Tires,” JPE, April 2004.

Stephen Nickell and Richard Layard (1999) “Labor Market Institutions and Economic Performance”, in Orley Ashenfelter and David Card (eds.), Handbook of Labor Economics, Vol. 3A, Chapter 46, pp. 3029- 2074.

Abowd, John M. (1989) “The Effect of Wage Bargains on the Stock Market Value of the Firm”, American Economic Review, 79, 4 (Sept.):774-800.

Abowd, John M. and Thomas Lemieux (1993) “The Effects of Product Market Competition on Collective Bargaining Agreements: The Case of Foreign Competition in Canada”, Quarterly Journal of Economics (Nov.): 983-1014.

Bertola, Guiseppe, Francine D. Blau, and Lawrence M. Kahn (2002), “Labor Market Institutions and Demographic Employment Patterns”

Card, David (1986) “Efficient Contracts and Costs of Adjustment: Short-run Employment Determination for Airline Mechanics”, American Economic Review, 76 (Dec.):10466-71.

Cramton, Peter and Jospeh S. Tracy (1993) “Strikes and Delays in Wage Bargaining: Theory and Data”, American Economic Review.

Gould, John P.(1973) “The Economics of Legal Conflicts”, Journal of Legal Studies, 2 (June): 279-300. Grout, P.A. (1984) “Investment and Wages in the Absence of Legally Binding Labour Contracts”, Econometrica, 52: 449-60.

Kennan, John and Robert Wilson (1990) “Strategic Bargaining Models and Interpretation of Strike Data”, Journal of Applied Econometrics.

Leontif, Wassily W. (1946) “The Pure Theory of the Guaranteed Annual Wage Contract”, Journal of Political Economy, 54 (Feb.): 76-9.

Manning, Alan (1987) “An Integration of Trade Union Models in a Sequential Bargaining Framework”, Economic Journal, 97 (March): 121-139.

Tracy, Joseph S. (1987) “An Empirical Test of an Asymmetric Information Model of Strikes”, Journal of Labor Economics, 5 (April): 149-73.

Immigration

J. Altonji and D. Card, "The Effects of Immigration on the Labor Market Outcomes of Less-Skilled Natives," in J. Abowd and R. Freeman, eds., Immigration, Trade, and the Labor Market, University of Chicago Press, 1991, 201-234.

*D. Card, „The Impact of the Mariel Boatlift on the Miami Labor Market.‟ Industrial and Labor Relations Review, vol.43, (January 1990), pp. 245--257.

*Chiswick, Barry R (1978) “The Effect of Americanization on the Earnings of Foreign-born Men”, Journal of Political Economy (Oct.): 897-921.

*Borjas, George J. (1987) “Self-Selection and the Earnings of Immigrants”, American Economic Review (Sept.): 531-553.

Borjas, George J. (1995) “Assimilation and Changes in Cohort Quality Revisited: What Happened to Immigrant Earnings in the 1980s?”, Journal of Labor Economics (April): 201-245.

D. Card (2001) “Immigrant Inflows, Native Outflows, and the Labor Market Impacts of higher Immigration”, Journal of Labor Economics, 19, 1: 22-64.

Baker, Michael and Dwayne Benjamin (1997), “The Role of the Family in Immigrants‟ Labor-Market Activity: An Evaluation of Alternative Explanations”, American Economic Review, 87 (Sept.): 705-727.

Blau, Francine D., Lawrence M. Kahn, Joan Moriarty, and Andre Souza (2003) “The Role of the Family in Immigrants‟ Labor-Market Activity: An Evaluation of Alternative Explanations: Comment”, American Economic Review, 93 (March): 429-447.

Pischke, Jorn-Steffen, and Johannes Velling, “Employment Effects of Immigration to Germany: An Analysis Based on Local Labor Markets,” The Review of Economics and Statistics 79 (Nov. 1997), 594-604.

J. Angrist and A. Kugler, “Protective or Counter-Productive? Labor Market Institutions and the Effect of Immigration on EU Natives,” The Economic Journal, June 2003.

*G. Borjas, “The Labor Demand Curve is Downward Sloping: Reexamining the Impact of Immigration on the Labor Market,” QJE November 2003.

P. Cortes, “The Effect of Low-Skilled Immigration on US Prices: Evidence from CPI Data,” JPE 2008, 381-422.

A. Kugler and M. Yuksel, “Effects of Low-Skilled Immigration on US Natives: Evidence from Hurricane Mitch,” University of Houston Economics Dept mimeo, August 2008.

C.L. Smith, “Dude, Where‟s my Job? The Impact of Immigration on the Youth Labor Market,“ Chapter 1 in MIT Ph.D. thesis, September 2008.

Efficiency Wages

Theory

*J. Yellen (1984) “Efficiency Wage Models of Unemployment”, American Economic Review, Vol. 74 (May), 200-205.

*G. Akerlof (1982) “Gift Exchange and Efficiency Wage Theory”, Quarterly Journal of Economics, Vol. 97 (November), 543-569.

Karl Marx, Capital, Vol. 1, Ch. 6: "The Sale and Purchase of Labour-Power;" and Ch. 7: "The Labour Process and the Valorization Process."

* Samuel Bowles, "The Production Process in a Competitive Economy: Walrasian, Neo-Hobbesian, and Marxian Models," American Economic Review, Vol. 75, No. 1, March 1985, 16-36.

* George Akerlof and Janet Yellen, "Fair Wage Effort Hypothesis and Unemployment," Quarterly Journal of Economics, Vol. 105, May 1990, 255-284.

* Edward Lazear, “Performance Pay and Productivity,” AER, Vol. 90, Dec 2000, 1346-1361.

Carl Shapiro and Joseph E. Stiglitz, "Equilibrium Unemployment as a Worker Discipline Device," American Economic Review, Vol. 74, 1984, pp. 433-44.

George A. Akerlof, "Labor Contracts as Partial Gift Exchange," Quarterly Journal of Economics, Vol. 97, November 1982, pp. 543-69.

Andrew Weiss, "Job Queues and Layoffs in Labor Markets with Flexible Wages," Journal of Political Economy, Vol. 88, June 1980, pp. 526-38.

Magnus Allgulin and Tore Ellingsen, “Monitoring and Pay,” Journal of Labor Economics, Part 1 April 2002, v. 20, iss. 2, pp. 201-16.

Empirical Tests

* Ernest Fehr, Erich Kirchler, Andreas Weichbold, and Simon Gachter, “When Social Norms Overpower Competition: Gift Exchange in Experimental Labor Markets,” Journal of Labor Economics, Vol. 16, No. 2, 1998, 324-351.

* Peter Cappelli and Keith Chauvin, “An Interplant Test of the Efficiency Wage Hypothesis,” Quarterly Journal of Economics, Vol. 106, No. 3, August 1991, pp. 769-87.

* Alan B. Krueger and Lawrence H. Summers, “Efficiency Wages and the Inter-Industry Wage Structure,” Econometrica, Vol. 56, No. 2, March 1988, pp. 259-93.

* David M. Gordon, “Who Bosses Whom?: The Intensity of Supervision and the Discipline of Labor,” American Economic Review, Vol. 80, No. 2, May 1990, pp. 28-32.

David I. Levine, “What Do Wages Really Buy?” Proceedings of IRRA, 19xx.

Erica L. Groshen and Alan B. Krueger, “The Structure of Supervision and Pay in Hospitals,” Industrial and Labor Relations Review, Vol. 43, No. 3, Feb. 1990, pp. S134-46.

Jonathan S. Leonard, “Carrots and Sticks: Pay, Supervision, and Turnover,” Journal of Labor Economics, Vol. 5, No. 4, Part 2, October 1987, pp. S136-52.

Harry Holzer, “Wages, Employer Costs, and Employee Performance in the Firm, “ Industrial and Labor Relations Review, Vol. 43, February 1990, pp. S147-64.

William T. Dickens and Lawrence F. Katz, “Inter-Industry Wage Differences and Industry Characteristics,” in Unemployment and the Structure of Labor Markets, eds. Kevin Lang and Jonathan S. Leonard, Basil Blackwell, New York, 1987, pp. 48-89.

Charles Brown and James Medoff, “The Employer Size-Wage Effect,” Journal of Political Economy, Vol. 97, No. 5, Oct. 1989, pp. 1027-59.

James B. Rebitzer and Michael D. Robinson, “Employer Size and Dual Labor Markets,” Review of Economics and Statistics, Vol. 73, No. 4, November 1991, pp. 710-715.

James B. Rebitzer, “Establishment Size and Job Tenure,” Industrial Relations, Vol. 25, No. 3, Fall 1986, pp. 292-302.

Francis Green and Thomas E. Weisskopf, “The Worker Discipline Effect: A Disaggregative Analysis,” Review of Economics and Statistics, May 1990, Vol. 72, No. 2, pp. 24-49.

Erica L. Groshen, “Five Reasons Why Wages Vary Among Employers,” Industrial Relations, Vol. 30, No. 3, Fall 1991, 350-381.