nep-dem New Economics Papers
on Demographic Economics
Issue of 2020‒03‒02
five papers chosen by
Héctor Pifarré i Arolas
Universitat Pompeu Fabra

  1. Gender Differences in Time Use : Allocating Time between the Market and the Household By Rubiano Matulevich,Eliana Carolina; Viollaz,Mariana
  2. Parental Leave Reform and Long-Run Earnings of Mothers By Corinna Frodermann; Katharina Wrohlich; Aline Zucco
  3. More Gray, More Volatile? Aging and (Optimal) Monetary Policy By Baksa, Dániel; Munkácsi, Zsuzsa
  4. Working and disability expectancies at old ages: the role of childhood circumstances and education By Lorenti, Angelo; Dudel, Christian; Hale, Jo Mhairi; Myrskylä, Mikko
  5. The Refugee’s Dilemma:Evidence from Jewish Migration out of Nazi Germany By Johannes Buggle; Mathias Thoenig; Thierry Mayer; Seyhun Orcan Sakalli

  1. By: Rubiano Matulevich,Eliana Carolina; Viollaz,Mariana
    Abstract: Important progress toward gender equality has been made in the past decades, but inequalities linked to gender norms, stereotypes, and the unequal distribution of housework and childcare responsibilities persist. Lifetime events such as marriage and parenthood bring substantial changes in time use among women and men. This paper updates and reinforces the findings of previous studies by analyzing gender differences in the allocation of time among market work and unpaid domestic work. Results from the analysis of time use patterns in 19 countries of different income levels and from various regions suggest that women specialize in unpaid domestic and care work and men specialize in market work. The paper employs propensity score matching to assess the marriage and parenthood"penalty"on time use patterns over the lifecycle. The findings indicate that women of prime working age are the most penalized on a host of measures, including labor market participation, unpaid domestic work, and leisure time. Men are not necessarily penalized for, and sometimes benefit from, marriage or parenthood.
    Keywords: Gender and Development,Inequality,Wages, Compensation&Benefits,Rural Labor Markets,Labor Markets,Educational Sciences
    Date: 2019–08–14
  2. By: Corinna Frodermann; Katharina Wrohlich; Aline Zucco
    Abstract: Paid parental leave schemes have been shown to increase women's employment rates but decrease their wages in case of extended leave durations. In view of these potential trade-offs, many countries are discussing the optimal design of parental leave policies. We analyze the impact of a major parental leave reform on mothers' long-term earnings. The 2007 German parental leave reform replaced a means-tested benefit with a more generous earnings-related benefit that is granted for a shorter period of time. Additionally, a "daddy quota" of two months was introduced. To identify the causal effect of this policy on long-run earnings of mothers, we use a difference-in-difference approach that compares labor market outcomes of mothers who gave birth just before and right after the reform and nets out seasonal effects by including the year before. Using administrative social security data, we confirm previous findings and show that the average duration of employment interruptions increased for high-income mothers. Nevertheless, we find a positive long-run effect on earnings for mothers in this group. This effect cannot be explained by changes in working hours, observed characteristics, changes in employer stability or fertility patterns. Descriptive evidence suggests that the stronger involvement of fathers, incentivized by the "daddy months", could have facilitated mothers' re-entry into the labor market and thereby increased earnings. For mothers with low prior-to-birth earnings, however, we do not find any beneficial labor market effects of this parental leave reform.
    Keywords: Parental leave, wages, labor supply
    JEL: H31 J13 J22 J24 J31
    Date: 2020
  3. By: Baksa, Dániel; Munkácsi, Zsuzsa
    Abstract: The empirical and theoretical evidence on the impact of population aging on inflation is mixed, and there is no evidence regarding the volatility of inflation. Using advanced economies’ data and a DSGE-OLG model - a multi-period general equilibrium framework with overlapping generations - we find that aging leads to downward pressure on inflation and higher inflation volatility. Our paper shows how aging affects the short-term cyclical behavior of the economy and the transmission channels of monetary policy. We also examine the interplay between aging and optimal central bank policies. As aging redistributes wealth among generations, generations behave differently, and the labor force becomes more scarce. Our model suggests that aging makes monetary policy less effective, and aggregate demand less elastic to changes in the interest rate. Moreover, in grayer societies, central banks should react more strongly to nominal variables to compensate for higher inflation volatility.
    Keywords: aging; monetary policy transmission; optimal monetary policy; inflation targeting
    JEL: E31 E52 J11
    Date: 2020–02
  4. By: Lorenti, Angelo; Dudel, Christian (Max Planck Institute for Demographic Research); Hale, Jo Mhairi; Myrskylä, Mikko
    Abstract: The ability to work at older ages depends on health and education. Both accumulate starting very early in life. We assess how childhood disadvantages combine with education to affect working and health trajectories. Applying multistate period life tables to data from the Health and Retirement Study (HRS) for the period 2008-2014, we estimate how the residual life expectancy at age 50 is distributed in number of years of work and disability, by number of childhood disadvantages, gender, and race/ethnicity. Our findings indicate that number of childhood disadvantages is negatively associated with work and positively with disability, irrespective of gender and race/ethnicity. Childhood disadvantages intersect with low education resulting in shorter lives, and redistributing life years from work to disability. Among the highly educated, health and work differences between groups of childhood disadvantage are small. Combining multistate models and inverse probability weighting, we show that the return of high education is greater among the most disadvantaged.
    Date: 2020–02–18
  5. By: Johannes Buggle; Mathias Thoenig; Thierry Mayer; Seyhun Orcan Sakalli
    Abstract: In this paper we estimate the push and pull factors involved in the outmigration of Jews facing persecution in Nazi Germany from 1933 to 1941 when migration was banned. Our empirical investigation makes use of a unique individual-level dataset that records the migration history of almost the entire universe of Jews living in Germany over the period. Our analysis highlights new channels, specific to violent contexts, through which social networks affect the decision to flee. We first estimate a structural model of migration where individuals base their own migration decision on the observation of persecution and migration among their peers. Identification rests on exogenous variations in push and pull factors across peers who live in different cities of residence. Then we perform various counterfactual policy experiments in order to quantify how migration restrictions in destination countries affected the fate of Jews. For example, removing work restrictions for refugees after the Nuremberg Laws (in 1935) would have led to 27% increase in Jewish migration out of Germany.
    Keywords: Refugees, Migration Policy, Antisemitism, Nazi Germany
    JEL: F22 N40 F50 D74
    Date: 2020–02

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