NBER Publications by Jungmin Lee

How would people spend additional time if confronted by permanent declines in market work? We examine the impacts of cuts in legislated standard hours that raised employers’ overtime costs in Japan around 1990 and Korea in the early 2000s. Using time-diaries from before and after these shocks, we show that these shocks were effective—per-capita hours of market work declined discretely. The economy-wide drops in market work were reallocated solely to leisure and personal maintenance. In the absence of changing household technology a permanent time gift leads to no increase in time spent in household production by the average individual.

Social commentators have pointed to problems of women workers who face time stress' an absence of sufficient time to accomplish all their tasks. An economic theory views time stress as reflecting how tightly the time constraint binds households. Time stress will be more prevalent in households with higher incomes and whose members work longer in the market or on required' homework. Evidence from Australia, Canada, Germany, Korea and the United States corroborates this view. Adults in higher-income households perceive more time stress for the same amount of time spent in market work and household work. The importance of higher full incomes in generating time stress is not small, particularly in North America much is yuppie kvetch.' While time stress is most prevalent among working wi...