Shadow wages, allocative inefficiency, and labor supply in smallholder agriculture
提出一种在不可观测工资和家庭自雇劳动边际收益产品偏离影子工资的情况下估计结构性劳动供给模型的方法,并用科特迪瓦水稻生产数据展示如何利用家庭特征(如土地/劳动禀赋比)控制不可观测工资和劳动配置无效率。
Abstract This article introduces a method for estimating structural labor supply models in the presence of unobservable wages and deviations of households' marginal revenue product of self‐employed labor from their shadow wage. This method is therefore robust to a wide range of assumptions about labor allocation decisions in the presence of uncertainty, market frictions, locational preferences, etc. We illustrate the method using data from rice producers in Côte d'Ivoire. These data, like previous studies, reveal significant systematic differences between shadow wages and the marginal revenue product of family farm labor. We demonstrate how one can exploit systematic deviations, in the present case related to household characteristics such as the land/labor endowment ratio, to control for both unobservable wages and prospective allocative inefficiency in labor allocation in structural household labor supply estimation.