politics

There are ways to justify this (decreasing marginal tax rates are consistent with optimal tax theory, as you get the incentive effect without the reduction in revenue on the hours that people would work anyway), but in general I'm kinda worried about tax policy being driven by memetics. Becomes a complexity nightmare.

Overtime actually isn't that common because companies usually have more incentive to prevent employees from ever breaching 40 hours/week. That's why so many in this economy are working two or more jobs, like 35 hours at one place and 25 at another, when they would almost certainly prefer to work 60 at one of them. Or they are working over 40 in practical terms but are not clocked in or the employer uses some loophole to avoid overtime pay.

Overtime actually isn't that common because companies usually have more incentive to prevent employees from ever breaching 40 hours/week. That's why so many in this economy are working two or more jobs, like 35 hours at one place and 25 at another, when they would almost certainly prefer to work 60 at one of them. Or they are working over 40 in practical terms but are not clocked in or the employer uses some loophole to avoid overtime pay. https://www.nber.org/papers/w30826