The document discusses how increased productivity since the industrial revolution originally led to decreases in working hours but that trend has since reversed such that people now work as much or more than they did in the past. There are several reasons for this, including that employers find it more profitable to have existing employees work overtime rather than hire new employees, and employees feel pressure to work long hours to advance their careers. Additionally, the structure of compensation systems incentivizes long work hours. While increased productivity could enable more leisure time, cultural and market factors encourage long work hours instead.
The document discusses how increased productivity since the industrial revolution originally led to decreases in working hours but that trend has since reversed such that people now work as much or more than they did in the past. There are several reasons for this, including that employers find it more profitable to have existing employees work overtime rather than hire new employees, and employees feel pressure to work long hours to advance their careers. Additionally, the structure of compensation systems incentivizes long work hours. While increased productivity could enable more leisure time, cultural and market factors encourage long work hours instead.
The document discusses how increased productivity since the industrial revolution originally led to decreases in working hours but that trend has since reversed such that people now work as much or more than they did in the past. There are several reasons for this, including that employers find it more profitable to have existing employees work overtime rather than hire new employees, and employees feel pressure to work long hours to advance their careers. Additionally, the structure of compensation systems incentivizes long work hours. While increased productivity could enable more leisure time, cultural and market factors encourage long work hours instead.
PDF Solution Manual For Modern Labor Economics Theory and Public Policy 13Th Edition Ronald G Ehrenberg Robert S Smith Ronald G Ehrenberg Robert S SM Online Ebook Full Chapter