“…Engbom (2022)) and can potentially explain cross-country variation. Assuming the labor market conditions play an important role for the ELS, many of the conclusions made in this paper can be carried over to the United States, as it exhibits roughly the same labor market turnover and employment protection as Denmark (Kreiner and Svarer, 2022). The marginal tax rate's effect on paid absence and paid overtime work further suggests that job flexibility may be important for labor supply responses.…”