Across four US and one Canadian NIT experiments, reduced labor supply averaged between 5% - 7.9% reduction for men, 17% - 21% for married women with children, and a 7% - 13.2% reduction for single women with children.

However, the authors go on to question the validity, and magnitude, of these findings. Even taken at face value, they don't represent the mass exodus from the labor market some expected. Where work hours dropped the most, married women with children, the numbers mostly reflected spending additional time with children, or longer periods spent looking for work, rather than additional time off. Additionally, the numbers themselves are likely overblown, as subsequent research has shown.

empirical


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