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Reservation Wages and Subsequent Acceptance Wages of Unemployed Persons

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Working Paper Number SIPP-WP-66

This paper represents a continuation of the earlier paper. It reports on an error found in the tabulations of the earlier paper and then proceeds to explore the "quality issue" from a new angle. Because SIPP is a longitudinal survey, we can find out if unemployed persons at the time of the fifth interview eventually found jobs--and at what acceptance wages--from subsequent SIPP interviews. These additional data should provide further insight into the quality of the reservation wage data. The basis for judging their quality will be how good the relationship looks between the two sets of data in light of theoretical expectations and existing research dealing with reservation wages.

Page Last Revised - October 8, 2021
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