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We investigate the effects of the February 1, 1982, mandatory reduction of weekly working hours in France. Just after Francois Mitterrand's election in 1981, the minimum wage was increased by 5 percent. The workweek was then reduced from 40 to 39 hours. At the same time, stable monthly earnings...
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We develop a model for decomposing the covariance structure of panel data on firms into a part due to permanent heterogeneity, a part due to differential histories with unknown ages, and a part due to the evolution of economic shocks to the firm. Our model allows for the endogenous death of...
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