arXiv 20 May 2022 · Econometrics
arXiv:2205.10310 · PDF · DOI · OpenAlex · Extracted main text
This paper studies the identifying power of bunching at kinks when the researcher does not assume a parametric choice model. I find that in a general choice model, identifying the average causal response to the policy switch at a kink amounts to confronting two extrapolation problems, each about the distribution of a counterfactual choice that is observed only in a censored manner. I apply this insight to partially identify the effect of overtime pay regulation on the hours of U.S. workers using administrative payroll data, assuming that each distribution satisfies a weak non-parametric shape constraint in the region where it is not observed. The resulting bounds are informative and indicate a relatively small elasticity of demand for weekly hours, addressing a long-standing question about the causal effects of the overtime mandate.
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The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.
| Reference | Intensity | Mentions | Sections | Main text | |
|---|---|---|---|---|---|
| 1 | Brown, Charles, Hamermesh, Daniel S (2019) Wages and Hours Laws: what do we know? what can be done? | 0.737 | 3 | 2 | 100% |
| 2 | Hamermesh, Daniel S, Trejo, Stephen J (2000) The Demand for Hours of Labor : Direct Evidence from California | 0.737 | 3 | 2 | 100% |
| 3 | Bertanha, Marinho, McCallum, Andrew H., Seegert, Nathan (2023) Better bunching, nicer notching | 0.511 | 2 | 1 | 100% |
| 4 | Blomquist, Soren, Kumar, Anil, Liang, Che-Yuan, Newey, Whitney (2021) On Bunching and Identification of the Taxable Income Elasticity | 0.511 | 2 | 1 | 100% |
| 5 | Kline, Patrick, Tartari, Melissa (2016) Bounding the Labor Supply Responses to a Randomized Welfare Experiment: A Revealed Preference Approach | 0.511 | 2 | 1 | 100% |
| 6 | Bishow, John L (2009) A Look at Supplemental Pay: Overtime Pay, Bonuses, and Shift Differentials | 0.405 | 1 | 1 | 100% |
| 7 | Blomquist, Soren, Kumar, Anil, Liang, Che-Yuan, Newey, Whitney (2015) Individual heterogeneity, nonlinear budget sets and taxable income | 0.405 | 1 | 1 | 100% |
| 8 | Costa, Dora L (2000) Hours of Work and the Fair Labor Standards Act: A Study of Retail and Wholesale Trade, 1938–1950 | 0.405 | 1 | 1 | 100% |
| 9 | (2024) Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees | 0.405 | 1 | 1 | 100% |
| 10 | Ehrenberg, Ronald, Schumann, Paul (1982) Longer hours or more jobs? : an investigation of amending hours legislation to create employment | 0.405 | 1 | 1 | 100% |
Showing the top 10 of 30 scored citations.
arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.
| Citing paper | Intensity | Mentions | Sections | |
|---|---|---|---|---|
| 1 | Identification of Causal Effects with a Bunching Design | 0.928 | 4 | 3 |
| 2 | Identifying causal effects with subjective ordinal outcomes | 0.737 | 3 | 2 |