Estimating Workers' Marginal Willingness to Pay for Job Attributes Using Duration Data

Abstract

This paper develops and applies a method for estimating workers' marginal willingess to pay for job attributes when workers' job choices are characterized by imperfect information and labor market search. As an application, this paper analyzes the job durations of white males using data from the National Longitudinal Survey, Youth Cohort and the Dictionary of Occupational Titles. Estimates of workers' willingness to pay derived from the job duration model are compared with those derived from an hedonic wage model.