If you run into Simon Jäger on the towpath with his Vizsla, you may not know that he is a globally recognized economist whose work on labor markets and inequality is helping reshape our understanding of modern work. He may strike you as someone deeply interested in communicating with his canine, perhaps a dog whisperer. But that’s another life.

In this one, Jäger studies competition in the labor market and the institutional and psychological factors that impact it. He has explored, for example, what happens when you give workers the right to participate in their firm’s decision making, or how low-wage workers may undervalue what they could earn from another employer and how that gives companies the power to set lower wages. He recently spent a year in Germany, where he led a research institute and advised the Ministry for the Economy.

As he begins his first semester at the Princeton School of Public and International Affairs as an associate professor of economics and public affairs, Jäger is also navigating the challenges of having moved 300 miles from Boston with his family and dog – as well as fracturing his knee six weeks ago while skiing.

We're grateful he took a moment to tell us a little more about him, in his own words:

My research explores… how labor markets are shaped by institutions. For example, my work has looked at forms of worker representation, such as unions and employee board participation, and how they affect wages, productivity and the distribution of rents between labor and capital. I am also interested in empirically testing canonical models of the labor market and thinking about the ways in which real labor markets deviate from textbook models.

For example, some recent work has explored the role that outside options play for wages and has studied how workers think about their outside options. It turned out that many workers actually do not have a good sense of what their outside option might be; many in low-wage jobs underestimate outside options, which gives firms market power in the labor market. 

The reason I’m excited to be at Princeton SPIA is… I am very interested in understanding which labor market institutions can foster inclusive growth and create opportunities for workers across the income spectrum. Many of the tools and frameworks I use to study topics like worker representation and its effects on productivity and wages were pioneered by researchers working at Princeton.

I am thrilled to join Princeton SPIA because I see rigorous research and impactful policy work as a two-way street: each informs and strengthens the other.  I’m also excited about the School’s multidisciplinary environment and look forward to learning from colleagues and students with diverse backgrounds and expertise.

At Princeton SPIA, I want to… build and deepen collaborations with colleagues and students who are as passionate about labor markets and public policy as I am. My goal is to push the frontier of labor economics while also ensuring that our findings inform real-world decision-making. I see Princeton SPIA as a place where I can integrate rigorous empirical research with meaningful policy dialogue and, hopefully, help shape how we think about labor market challenges.

If I weren’t in academia… I suspect I’d work somewhere in policymaking. I have been a bit involved in policy advice and have found the process of turning empirical insights into actionable policy very rewarding. If I were starting completely fresh, though, I’d be torn between studying linguistics or becoming a dog trainer. In many ways, they share a common thread: both involve understanding how beings communicate.

My greatest influence in life has been… my family, though it truly takes a village. I’ve been fortunate to cross paths with kind and wise teachers, mentors, colleagues, and friends at every step along the way, and each has played a part in shaping who I am today.

When I’m not working, you’ll most likely find me… on a trail or exploring a new hike with our dog during the day. In the evening, I might be in New York City catching a concert or trying out a new restaurant—or just as happily at home in Princeton, cooking a meal for family and friends.

A secret talent you may not know about is… I love working with animals—especially dogs. In another life, I might become a full-time dog trainer. It’s amazing how much you can communicate with a dog once you understand how they learn and what they like.