Table 5

Labor Supply Elasticity to the Firm by Task Intensities and Collective Bargaining Coverage

High CoverageLow CoverageBaseline
Firm-level labor supply elasticity (ϵLw)
 with high RTI2.0101.3792.288
 with high NRMTI1.5101.2371.852
 with high NRCTI1.0440.3870.985
  • Source: SIAB and BHP 1985–2014. Authors’ calculations.

  • Notes: Clustered standard errors at the person level in parentheses. Routine task intensity (RTI), nonroutine manual task intensity (NRMTI), and nonroutine cognitive task intensity (NRCTI) are standardized with mean zero and standard deviation one. Thus, for instance workers with low RTI are workers with RTI one standard deviation below the mean, and workers with high RTI are workers with RTI one standard deviation above the mean. Same control variables as in Table 2.