Loosening Hours Constraints on the Supply of Labor | What if Germans Had a Dutch Labor Market?

Total employment in Germany is supposed to increase if people are able to realize their desired working hours. However, this back-of-the-envelope calculation overestimates the effect of loosening hours constraints, because even in a very flexible labor market there will exist hours restrictions for certain jobs and occupations. Therefore, I simulate Germans' working hours in a more flexible but real world, namely the Dutch labor market. The results indicate that the average weekly working hours of German employees would indeed decrease if they were employed on conditions similar to those of th... Mehr ...