Comovement of labor supply and human capital investment in policy analysis

C-Tier
Journal: Economics Letters
Year: 2024
Volume: 245
Issue: C

Authors (3)

Jeong, Minhyeon (not in RePEc) Jung, Euiyoung (not in RePEc) Lee, Chul-In (Seoul National University)

Score contribution per author:

0.335 = (α=2.01 / 3 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Quantitative studies of human capital report the comovement of labor and human capital investment in response to policy changes, which is usually understood based on the intuition that human capital is utilized only while working: both inputs are complements in the formation of effective labor. Given the lack of (i) theoretical analysis of exact conditions and (ii) the preference-side intuition that both inputs involve disutility leading to a similar comovement, we fill the gap. The general condition for the comovement specifies the minimum extent of disutility smoothing between labor and human capital investment, and the prior intuition relaxes this condition, raising comovement possibilities. The conclusion has wide applicabilities in policy analysis.

Technical Details

RePEc Handle
repec:eee:ecolet:v:245:y:2024:i:c:s0165176524005408
Journal Field
General
Author Count
3
Added to Database
2026-01-25