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March 2007, Vol. 130, No. 3
Wage differentals associated with working at home
Bonnie Sue Gariety and Sherrill Shaffer
This article presents an empirical test of wage differentials associated with working at home, as further categorized by frequency of working at home, stated reason for working at home, and industry, major occupation, or sex of the worker. The test potentially reflects several factors, including hedonic differentials, productivity effects, and risk sharing. The analysis presented quantifies such differentials; previous studies have not done so, although they have explored factors underlying the choice to work at home,1 the impact of working at home on travel and congestion,2 and other related issues.3
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1 Patricia Mokhtarian and Ilan Salomon, "Modeling the Choice of Telecommuting: 3. Identifying the Choice Set and Estimating Binary Choice Models for Technology-Based Alternatives," Environment and Planning A, October 1996, 1877–94.
2 Patricia L. Mokhtarian, "A Synthetic Approach to Estimating the Impacts of Telecommuting on Travel," Urban Studies, February 1998, 215–41.
3 Edward E. Potter, "Telecommuting: The Future of Work, Corporate Culture, and American Society," Journal of Labor Research, winter 2003, pp. 73–84.
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