From: Windfall gains and labour supply: evidence from the European household panel
Dependent variable: | Employment dummy | Working hours per week | Log working hours per week | ||
---|---|---|---|---|---|
 | (1) | (2) | (3) | (4) | (5) |
 | FE | FE | FE IV | FE | FE IV |
Windfall gains dummy | −0.292*** | −12.85*** | −12.35*** | −0.00101 | −0.0175 |
 | (0.0719) | (3.857) | (3.929) | (0.0688) | (0.0718) |
Hourly wage |  | −0.933*** | −0.510 |  |  |
 |  | (0.0446) | (0.334) |  |  |
Interaction of windfall gains with wage |  | 0.0820** | −0.212 |  |  |
 |  | (0.0393) | (0.144) |  |  |
Log hourly wage |  |  |  | −0.366*** | −0.185*** |
 |  |  |  | (0.00810) | (0.0465) |
Interaction of windfall gains with log wage |  |  |  | −0.00325 | −0.0191 |
 |  |  | (0.00685) | (0.0201) | |
Age | 0.0862*** | 4.614*** | 4.361*** | 0.0560*** | 0.0388*** |
 | (0.00470) | (0.252) | (0.288) | (0.00448) | (0.00612) |
Interaction of windfall gains with age | 0.0154*** | 0.687*** | 0.750*** | 0.00231 | 0.00469 |
 | (0.00360) | (0.193) | (0.200) | (0.00347) | (0.00373) |
Age^2 | −0.00104*** | −0.0531*** | −0.0516*** | −0.000498*** | −0.000386*** |
 | (5.60e-05) | (0.00300) | (0.00307) | (5.39e-05) | (6.03e-05) |
Interaction of windfall gains with age^2 | −0.000180*** | −0.00862*** | −0.00898*** | −3.98e-05 | −6.76e-05 |
(4.26e-05) | (0.00228) | (0.00233) | (4.14e-05) | (4.38e-05) | |
Married dummy | 0.0353*** | 2.579*** | 2.514*** | 0.0387*** | 0.0344*** |
 | (0.00992) | (0.529) | (0.542) | (0.00884) | (0.00924) |
Interaction of windfall gains with married dummy | −0.0251*** | −0.735 | −0.758 | −0.00908 | −0.0100 |
(0.00904) | (0.485) | (0.494) | (0.00824) | (0.00850) | |
Children 0–6 in hhold dummy | −0.0152* | −0.328 | −0.726 | 0.0130* | 0.00975 |
 | (0.00897) | (0.479) | (0.488) | (0.00790) | (0.00817) |
Interaction of windfall gains with children 0–6 dummy | −0.0214** | −1.235** | −0.893* | −0.0224*** | −0.0210** |
(0.00955) | (0.510) | (0.519) | (0.00845) | (0.00881) | |
Children 7–15 in hhold dummy | −0.0321*** | −1.285*** | −1.408*** | 0.00313 | 0.00272 |
 | (0.00839) | (0.448) | (0.455) | (0.00749) | (0.00770) |
Interaction of windfall gains with children 7–15 dummy | −0.000463 | −0.112 | 0.0145 | −0.0125 | −0.0105 |
(0.00939) | (0.502) | (0.507) | (0.00834) | (0.00855) | |
Constant | −0.807*** | −49.14*** | −44.71*** | 3.053*** | 3.198*** |
 | (0.0951) | (5.093) | (5.583) | (0.0887) | (0.0976) |
Observations | 26176 | 25626 | 25327 | 22503 | 22278 |
Number of individuals | 5087 | 5073 | 5061 | 4691 | 4679 |
R-squared | 0.045 | 0.072 | Â | 0.141 | Â |
Hausman test+ | Â | Â | 0.001 | Â | 0.048 |