My JMP studies the effects of tipping on workers and firms.
Tips reward effort: tipped workers earn more by serving more customers. Tipping benefits both workers and their firms!
🧵Thread below
Link here pdfs.isaacnorwich.com/Norwich_JMP.pdf
Replying to @UChi_Economics
Who benefits from tipping? Tracing customer tips to paychecks, @IsaacNorwich's JMP finds workers keep about 77% as a raise. Firms gain from higher productivity, not just lower wages, because tips reward effort. Read Isaac's paper: economics.uchicago.edu/directory/isaa…
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