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on Microeconomic European Issues |
| By: | Aurelio Volpe (CSIL Centre for Industrial Studies); Stefania Pelizzari (CSIL Centre for Industrial Studies); Gelsomina Catalano |
| Abstract: | This market research aims to provide an overview of the Eco Building (or Green) activity in the European market. Energy efficiency is today at the top of the European political agenda, as from the analysis of chapter one (Legal Framework). It is part of the triple goal of the '20-20-20' initiative adopted by the European Union in 2008, which aims to achieve by 2020 a saving of 20% in primary energy consumption, a reduction of 20% in greenhouse gas emissions and an increase of 20% in renewable resources of energy. The CSIL multiclient report The European Market for Eco building products is the result of: analysis of the legislative frame network at the EU level (first chapter); analysis of the existing stock of available statistics on the building activity in Europe (most of it is reported in the second chapter of the Report); a number of simplified simulations of cost/benefit analyses for specific actions on energy saving, for residential and commercial buildings; desk research and field research (this last on the Italian market);data mining (turnover, employees, web address) for a wide number of industrial companies involved in Eco-building. Countries covered from the statistical analysis (building and economic indicators): Austria, Belgium, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Spain, Sweden, United Kingdom. The attached Excel spreadsheet is useful for the qualitative calculation of both the energy and the economic savings of the main actions that can be taken, making some assumptions. Chapter 5 shows the last available turnover, employment, web address for over 1000 players in this field, according to different categories: architectural and engineering companies, builders and developers, manufacturer of prefabricated buildings, water management, photovoltaic systems, renewable energy, building automation, industrial controls. |
| JEL: | L11 L15 L22 L25 L68 L73 L81 Q51 Q55 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:mst:csilre:eu23&r=eur |
| By: | Ekaterina Sprenger (ZBW – Leibniz Information Centre for Economics) |
| Abstract: | This paper empirically investigates the determinants of migration between 21 developed countries which are members of the EU and the OECD. Using data on migration flows over the period 2000–2009, the paper examines the impact of traditional economic variables such as income and unemployment differentials, geographical and demographic factors. It also examines the effect of cultural differences on the mobility patterns in the EU before and after the 2004 enlargement round. |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:ost:wpaper:325&r=eur |
| By: | JENKINS Stephen P.; VAN KERM Philippe |
| Abstract: | The current poverty rate and the persistent poverty rate are both included in the EU?s portfolio of primary indicators of social inclusion. We show that there is a near-linear relationship between these two indicators across EU countries drawing on empirical analysis of EU-SILC and ECHP data. Using a prototypical model of poverty dynamics, we explain how the near-linear relationship arises and show how the model can be used to predict persistent poverty rates from current poverty information. In the light of the results, we discuss whether the EU?s persistent poverty measure and the design of EU-SILC longitudinal data collection require modification. |
| Keywords: | persistent poverty; income poverty; EU-SILC; Europe |
| JEL: | D31 I32 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:irs:cepswp:2012-43&r=eur |
| By: | Javier Olivera (UCD Geary Institute, University College Dublin) |
| Abstract: | This paper analyses the determinants of trust in a pool of 33 European countries over the period 2002-2010. We find that income inequality is negatively related with trust when we analyse pooled data of individuals, which is a well established result if one focuses on crosscountry differences. But, this relation vanishes when we estimate a fixed effects model with the data collapsed by country and year. Omitted variables may account for the significant and negative relationship between economic inequality and trust at the cross-sectional level. In contrast, we find a sizeable, negative and significant effect of the share of persons from minority ethnic groups on trust. This result is found in different specifications for the trust index and distribution of trust. |
| Keywords: | Trust, Income Inequality, Europe, Social Attitudes |
| JEL: | D31 D63 Z13 |
| Date: | 2013–01–28 |
| URL: | http://d.repec.org/n?u=RePEc:ucd:wpaper:201301&r=eur |
| By: | Simone Bertoli; Herbert Brücker; Jesus Fernández-Huertas Moraga |
| Abstract: | The analys is of how the economic crisis in Europe has reshaped migration flows faces two challenges: (i)the confounding influence of correlated changes in the attractiveness of alternative destinations, and (ii)the role of rapidly changing expectations about the evolution of the economic conditions in various countries. This paper addresses the first challenge by controlling for multilateral resistance to migration, and the second one by incorporating 10-year bond yields as an explanatory variable in a study of European bilateral migration flows to Germany between 2006 and 2012. We show that, while expectations and current economic conditions at origin are signicant determinants of migration, diversion effects account for 78 percent of the observed increase in German gross migrationin ows. |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:fda:fdaddt:2013-03&r=eur |
| By: | Krause, Annabelle (IZA); Rinne, Ulf (IZA); Zimmermann, Klaus F. (IZA and University of Bonn) |
| Abstract: | Numerous empirical studies find a substantial extent of discrimination in hiring decisions. Anonymous job applications have gained attention and popularity to identify and combat this form of discrimination. To test whether their intended effects result in practice, in several European countries such as Sweden, France and the Netherlands field experiments were recently conducted. Also in Germany, a large field experiment has examined the practicability and potentials of this approach. Against the background of the recent German findings as novel evidence, this paper discusses the advantages and disadvantages of this new policy proposal. |
| Keywords: | discrimination, anonymous job applications, hiring |
| JEL: | M51 J71 J78 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7096&r=eur |
| By: | Wim Van Lancker |
| Abstract: | Under the social investment paradigm, a child-centred investment strategy has been developed. Mainstay of such strategy is the provision of childcare services, which are expected to increase maternal employment rates, further children’s human capital and mitigate social inequalities in early life. In this article, I critically assess the child-centred investment strategy and explore whether childcare services in European countries in their current state of affairs are up to the task of producing the anticipated benefits. The argument I develop is fairly simple: in order to be effective, childcare services should cover all social groups, in particular children from a disadvantaged background. Drawing on recent EU-SILC data I show that in all but one country this condition is not met: childcare is often used at low or moderate levels, and children from low-income families participate to a much lesser extent than children from high-income families. In order to overcome these childcare deficits, countries should pursue a consistent investment strategy which entails increasing childcare supply and increasing employment opportunities for all social groups. This will require huge budgetary efforts for most member states. |
| Keywords: | child-centred investment strategy, childcare, ECEC, European Union, inequality, social investment |
| JEL: | I3 J13 J24 I24 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:hdl:wpaper:1301&r=eur |
| By: | Chiara Franco (Catholic University of Milan); Alberto Marzucchi (Catholic University of Milan); Sandro Montresor (JRC-IPTS) |
| Abstract: | The paper aims at extending the analysis of the firm’s absorptive capacity (AC) by taking stock of its manifold nature. Innovation cooperation is recognised as one of its antecedents, along with R&D, but with different possible outcomes, depending on the kind of partner. Human capital is claimed to be as important as other organisational mechanisms for the AC impact on innovation. The empirical application, carried out on about 10,500 firms located in 3 EU countries (i.e. Germany, Italy and Spain), confirms the role of these factors. Interacting with research organisations, for example, increases the firm’s AC providing it occurs within the national boundaries. The transformation of AC into actual innovation is favoured by the human capital of the firm, while it is actually hampered by socialisation mechanisms of an organisational nature. |
| Keywords: | Absorptive capacity – Innovation cooperation – Human capital |
| JEL: | O33 O32 J24 |
| Date: | 2012–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:wpaper:201205&r=eur |
| By: | Marie-Thérèse Letablier (Centre d'Economie de la Sorbonne et INED); Anne Salles (Université Paris-Sorbonne et INED) |
| Abstract: | This contribution to the Gusto research project for the European 7th framework programme (Work Package 3 : individual pathways to Flexibility and Sustainability) examines how employment uncertainty during the transition into the labour force differently impacts family formation in Germany and France. Based on a qualitative survey with young men and women in age of being parents, the paper explores how the individuals manage with uncertainty and economic insecurity to finalize their reproduction projects. The paper therefore contributes to an understanding of the contrasted fertility patterns in the two countries. It highlights variations in the perception of insecurity related in particular to differences in gender conventions and their related incidence on family patterns in the two countries. The paper also highlights the contrasted impact of trust in family policies, especially in their ability to secure individuals transitions. |
| Keywords: | Family formation, fertility decisions, economic insecurity, labour market uncertainty, precariousness. |
| JEL: | J01 J13 J16 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:mse:cesdoc:13004&r=eur |
| By: | Becchetti, Leonardo (University of Rome Tor Vergata); Massari, Riccardo (Sapienza University of Rome); Naticchioni, Paolo (University of Cassino) |
| Abstract: | This paper identifies and quantifies the contribution of a set of covariates in affecting levels and over time changes of happiness inequality. Using a decomposition methodology based on RIF regression, we analyse the increase in happiness inequality observed in Germany between 1992 and 2007, using the German Socio-Economic Panel (GSOEP) database, deriving the following findings. First, trends in happiness inequality are mainly driven by composition effects, while coefficient effects are negligible. Second, among composition effects, education has an inequality-reducing impact, while the increase in unemployment contributes to the rise in happiness inequality. Third, the increase in average income has a reducing impact on happiness inequality, while the raise in income inequality cannot be considered as a driver of happiness inequality trends. A clear cut policy implication is that policies enhancing education and economic performance contribute to reduce happiness inequality and the potential social tensions arising from it. |
| Keywords: | happiness inequality, income inequality, education, decomposition methods |
| JEL: | I31 I28 J17 J21 J28 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7153&r=eur |
| By: | Stanislawa Golinowska; Agnieszka Sowa |
| Abstract: | Long-term care (LTC) in the new EU member states, which used to belong to the former socialist countries, is not yet a legally separated sector of social security. However, the ageing dynamics are more intensive in these states than in the old EU member states. This paper analyses the process of creating an LTC sector in the context of institutional reforms of social protection systems during the transition period. The authors explain LTC’s position straddling the health and social sectors, the underdevelopment of formal LTC, and the current policies regarding the risk of LTC dependency. The paper is based mainly on the analysis of information provided by country experts in the ANCIEN project. |
| Keywords: | Labor market, social policy and social services, Europe, long-term care, social sector reform, social policy |
| JEL: | I18 I31 J11 J18 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:sec:cnstan:0450&r=eur |
| By: | Stefan Lutz (University of Manchester, UK; Universidad Complutense de Madrid, Spain; ICER, Torino, Italy; I.R.E.F., Luxembourg) |
| Abstract: | Important determinants of multinational firms’ choice of location include, besides resource cost and infrastructure, the taxation regime through its effects on international pricing and profits. This paper investigates the effects of tax rates on firms’ profits and financing decisions by analyzing a panel of several hundred thousand European firms for the years 1985 to 2010. Results indicate that taxation has a negative effect on overall firm profits but not on returns on shareholder funds. This is consistent with the observed positive effect of corporate taxation rates on the gearing ratio, i.e. the higher corporate tax rates in a particular jurisdiction the lower the share of equity financing of firms residing in that jurisdiction. This may indicate that high-tax jurisdictions deter valuable investment by multinational enterprises because they provide incentives to locate value-driving business parts requiring more equity financing elsewhere. |
| Keywords: | MNE, DCF, Capital structure, Corporate income tax, Transfer pricing. |
| JEL: | G0 H3 F2 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:ucm:doicae:1304&r=eur |
| By: | Anna Baranowska-Rataj; Iga Magda (Institute of Statistics and Demography, Warsaw School of Economics) |
| Abstract: | We examine the drivers of youth unemployment in Poland and Spain, countries where youth have a marginalised labour market position. We decompose the trends in unemployment rates in 1990-2011. We disentangle the role of prolonging job search and the impact of dismissals. The contribution of these two factors to the changes in unemployment rates is compared between youth and the reference group of prime-age workers. We show that in both countries, youth had actually higher chances of finding jobs than the prime-age workers during last two decades. However, the probability of job separation among youth was persistently higher. Moreover, the youth job separation risk reacted to recessions much stronger than the prime-age group risk. In Poland the disparity between the impact of job dismissals on changes in unemployment rates among young and prime-age men is relatively lower than in Spain, which could be ascribed to countries’ differential employment protection regimes. |
| Keywords: | unemployment; job flows; job separations; segmented labour markets |
| JEL: | J21 J42 J63 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:isd:wpaper:53&r=eur |
| By: | Luciana Méndez Errico (Departament d'Economia Aplicada, Universitat Autonoma de Barcelona) |
| Abstract: | This paper studies the extent to which social networks influence the employment stability and wages of immigrants in Spain. By doing so, I consider an aspect that has not been previously addressed in the empirical literature, namely the connection between immigrants’ social networks and labor market outcomes in Spain. For this purpose, I use micro-data from the National Immigrant Survey carried out in 2007. The analysis is conducted in two stages. First, the impact of social networks on the probability of keeping the first job obtained in Spain is studied through a multinomial logit regression. Second, quantile regressions are used to estimate a wage equation. The empirical results suggest that once the endogeneity problem has been accounted for, immigrants’ social networks influence their labor market outcomes. On arrival, immigrants experience a mismatch in the labor market. In addition, different effects of social networks on wages by gender and wage distribution are found. While contacts on arrival and informal job access mechanisms positively influence women’s wages, a wage penalty is observed for men. |
| Keywords: | Immigration, Labor market, Social Networks, Quantile regression, Semi-parametric estimations |
| JEL: | J15 J31 J61 C15 |
| Date: | 2013–01 |
| URL: | http://d.repec.org/n?u=RePEc:uab:wprdea:wpdea1301&r=eur |
| By: | O’Mahony, Mary; Pastor, José Manuel; Peng, Fei; Serrano, Lorenzo; Hernández, Laura |
| Abstract: | This paper analyses the problem of measuring the output of the education sector. It uses a combination of the index number approach with the education return methods. This allows us to take into account not only the number of students but also the labour outcomes corresponding to each type of education. As a result we obtain comprehensive measures of output based on enrollment, completion rates, expected wages, employability and labour market participation issues. We apply this approach to estimate the rates of growth of the output of the post-compulsory education sectors of 27 European countries over the period 2005‐2009. The results show the importance of complementing raw educational data with labour outcome information when measuring output in this sector. |
| Keywords: | education sector; Output; Europe |
| JEL: | O47 I25 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:44016&r=eur |
| By: | Zaiceva, Anzelika (University of Modena and Reggio Emilia); Zimmermann, Klaus F. (IZA and University of Bonn) |
| Abstract: | The eastern enlargements of the EU in 2004 and 2007 have stimulated the mobility of workers from the new EU8 and EU2 countries. A significant proportion of these migrants stayed abroad only temporarily, and the Great recession may have triggered return intentions. However, a return may be postponed if the economic situation in a sending region is persistently worse. This paper documents emerging evidence on return migration in post-enlargement Europe combining several data sources to describe the characteristics and selection of the returnees, as well as the determinants of return migration and potential re-migration decisions. The findings suggest that brain circulation rather than brain drain is relevant for several new member states and that returnees are most likely to migrate again. Moreover, the proportion of potential movers is larger in countries most affected by the crisis. Repeat and circular migration is expected to alleviate the potential negative impacts of the crisis, leading to a more efficient allocation of resources within the enlarged EU. |
| Keywords: | return migration, EU Eastern enlargement, economic crisis |
| JEL: | F22 J61 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7111&r=eur |
| By: | Gawel, Erik; Purkus, Alexandra |
| Abstract: | With the share of renewable energies within the electricity sector rising, improving their market (i.e. inclusion in the allocative processes of the electricity market) and system integration (i.e. enhanced responsibility for grid stability) is of increasing importance. To transform the energy system efficiently while ensuring security of supply, it is necessary to increase the alignment of renewable electricity production with short- and long-term market signals. By offering plant operators a premium on top of the electricity market price, premium schemes represent a potential option for achieving this, and have been implemented by several EU member states. This paper focuses on the case study of the German market premium scheme, which has been adopted as part of the 2012 amendment of the Renewable Energy Sources Act. Building on an evaluation of early experiences, we discuss whether the market premium in its current design improves market and/or system integration, and if it seems suitable in principle to contribute to these aims (effectiveness). Also, potential efficiency gains and additional costs of administering integration are discussed (efficiency). While market integration in a narrow sense (i.e. exposing renewables to price risks) is not the purpose of the German premium scheme, it has successfully increased participation in direct marketing. However, windfall profits are high, and the benefits of gradually leading plant operators towards the market are questionable. Incentives for demand-oriented electricity production are established, but they prove insufficient particularly in the case of intermittent renewable energy sources. It seems therefore unlikely that the German market premium scheme in its current form can significantly improve the market and system integration of renewable energies. To conclude, we provide an outlook on alternative designs of premium schemes, and discuss whether they seem better suited for addressing the challenges ahead. -- |
| Keywords: | Renewable Energies,Market Integration,System Integration,Market Premium,Renewable Energy Sources Act (EEG),Efficiency |
| JEL: | H23 Q42 Q48 |
| Date: | 2013 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:ufzdps:42013&r=eur |
| By: | Felfe, Christina (University of St. Gallen); Lalive, Rafael (University of Lausanne) |
| Abstract: | Many countries are currently expanding access to child care for young children. But are all children equally likely to benefit from such expansions? We address this question by adopting a marginal treatment effects framework. We study the West German setting where high quality center-based care is severely rationed and use within state differences in child care supply as exogenous variation in child care attendance. Data from the German Socio-Economic Panel provides comprehensive information on child development measures along with detailed information on child care, mother-child interactions, and maternal labor supply. Results indicate strong differences in the effects of child care with respect to observed characteristics (children's age, birth weight and socio-economic background), but less so with respect to unobserved determinants of selection into child care. Underlying mechanisms are a substitution of maternal care with center-based care, an increase in average quality of maternal care, and an increase in maternal earnings. |
| Keywords: | child care, child development, marginal treatment effects |
| JEL: | J13 I21 I38 |
| Date: | 2012–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp7100&r=eur |
| By: | Michael Fritsch (School of Economics and Business Administration, Friedrich-Schiller-University Jena); Alexander Kritikos (German Institute for Economic Research (DIW Berlin), and University of Potsdam); Alina Sorgner (School of Economics and Business Administration, Friedrich-Schiller-University Jena) |
| Abstract: | We analyze the sources of the rise in the levels of self-employment in Germany since reunification by applying the non-linear Blinder-Oaxaca decomposition technique. This analysis is performed separately for East and West Germany in order to account for the East German recovery of entrepreneurship after 40 years of socialist regime. We find different results for self-employed people with employees and solo- entrepreneurs. The main factors determining changes in the level of self-employment are demographic developments, the shift toward service sector employment, and a higher share of population holding a tertiary degree. The analysis also suggests that changes in personal attitudes toward self-employment might be responsible for the particular increase of solo-entrepreneurship. |
| Keywords: | Self-employment, non-linear Blinder-Oaxaca decomposition technique, entrepreneurship, Germany |
| JEL: | L26 D22 |
| Date: | 2013–01–17 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2013-006&r=eur |
| By: | Haupt, Marlene; Kluth, Sebastian (Munich Center for the Economics of Aging (MEA)) |
| Abstract: | In the course of the ongoing debate regarding the critique of the German Riester pension the Swedish premium pension has often been referred to as a role model regarding potential amendments and reforms. The Swedish pension reform of 1998 has led to a reorganization towards a stratified scheme, consisting of a pay-as-you-go and a fully funded element. The mandatory implementation of the Swedish premium pension has proved to be the major difference in comparison to the voluntary German Riester pension. In addition, numerous differences between the two systems can be outlined, of which most are due to the differing methods of implementation in the country’s old age provision system. This paper draws a comparison between the two systems with a special focus on the cost structure and evaluates the possibilities and limitations that arise from a complete adaptation of the Swedish premium pension (German premium pension) as well as a partial modification of the existing Riester scheme (Swedish-Riester). It becomes evident that costs are significantly lower in the Swedish system thanks to a rebate system and the centralization of administrative tasks within the Swedish Pensions Agency. However, despite systematic differences between the two schemes, the German Riester pension can particularly benefit from the Swedish premium pension with regard to transparent, coherent and consistent product information. |
| JEL: | D18 G23 H55 |
| Date: | 2013–01–20 |
| URL: | http://d.repec.org/n?u=RePEc:mea:meawpa:13266&r=eur |