nep-eur New Economics Papers
on Microeconomic European Issues
Issue of 2019‒06‒10
twenty-two papers chosen by
Giuseppe Marotta
Università degli Studi di Modena e Reggio Emilia

  1. Adoption of e-commerce by individuals and digital divide: Evidence from Spain By Ángel Valarezo; Rafael López; Teodosio Pérez-Amaral
  2. Health of immigrant children: the role of immigrant generation, exogamous family setting, and family material and social resources By Silvia Loi; Joonas Pitkänen; Heta Moustgaard; Mikko Myrskylä; Pekka Martikainen
  3. Rent control and rental prices: High expectations, high effectiveness? By Breidenbach, Philipp; Eilers, Lea; Fries, Jan
  4. Types of Institutions and Well-Being of Self-Employed and Paid Employees in Europe By Fritsch, Michael; Sorgner, Alina; Wyrwich, Michael
  5. The effect of immigration on natives’ well-being in the European Union By O’Connor, Kelsey J.
  6. Works Councils and Organizational Gender Policies in Germany By Jirjahn, Uwe; Mohrenweiser, Jens
  7. How do organized crime and counterfeit interact in Italian trading firms? An empirical analysis of their effects on trade By Elton Beqiraj; Silvia Fedeli; Luisa Giuriato
  8. Income redistribution and self-selection of immigrants By Corneo, Giacomo G.; Neidhöfer, Guido
  9. Firm soundness and knowledge externalities: a comparative regional analysis By Giuseppe Arcuri; Nadine Levratto; Aziza Garsaa; Lara Abdel Fattah
  10. Workers in the Crowd: The Labour Market Impact of the Online Platform Economy By Cantarella, Michele; Strozzi, Chiara
  11. Can We Reconcile French People with the Carbon Tax? Disentangling Beliefs from Preferences By Thomas Douenne; Adrien Fabre
  12. Does the German Minimum Wage Help Low Income Households?: Evidence from Observed Outcomes and the Simulation of Potential Effects By Teresa Backhaus; Kai-Uwe Müller
  13. The Immigrant-Native Wage Gap in Germany Revisited By Ingwersen, Kai; Thomsen, Stephan L.
  14. The Social Mobility of Home Ownership: To What Extent Have the Millennials Fared Worse? By Joanne Lindley; Steven McIntosh
  15. The impact of place-based policies on perceived regional living conditions across German labor market regions. Examining the impacts on migration flows. By Sven Wardenburg; Thomas Brenner
  16. The Effect of 9/11 on Immigrants' Ethnic Identity and Employment: Evidence from Germany By Delaporte, Isaure
  17. On the road to integration? Immigrants’ demand for informal (& formal) education By Nicola Daniele Coniglio; Rezart Hoxhaj; Hubert Jayet
  18. Interaction of Public and Private Employment: Evidence from a German Government Move By Faggio, G.; Schluter, T.; vom Berge, P.
  19. Regional fiscal equalization. A simultaneous equation approach to assess the economic effects of fiscal policy By Jonathan Eberle
  20. The Effect of Initial Placement Restrictions on Refugees' Language Acquisition in Germany By Felicitas Schikora
  21. Birds, Birds, Birds: Co-Worker Similarity, Workplace Diversity, and Voluntary Turnover By Hirsch, Boris; Jahn, Elke J.; Zwick, Thomas
  22. Testing for collusion in bus contracting in London By Waterson, Michael; Xie, Jian

  1. By: Ángel Valarezo (Instituto Complutense de Análisis Económico (ICAE), Universidad Complutense de Madrid (UCM).); Rafael López (Instituto Complutense de Análisis Económico (ICAE), Universidad Complutense de Madrid (UCM).); Teodosio Pérez-Amaral (Instituto Complutense de Análisis Económico (ICAE), Universidad Complutense de Madrid (UCM).)
    Abstract: E-commerce penetration rates are distant among those groups of individuals with the lowest and the highest levels of online shopping adoption. This is an indicator of digital divide, having negative effects in terms of untapped opportunities for people, companies and the whole economy. Key socioeconomic and demographic determinants of adoption of ecommerce are explored, analyzing a dataset of 174,776 observations for the period 2008-2017 in Spain. The empirical analysis is based on a standard neoclassical utility maximization framework. Linear probability model, logistic regression, and Heckman’s sample selection correction model have been used. The results suggest that e-commerce adoption is positively related with being male, having higher levels of education, income and digital skills, being Spanish, and being employed; while being female, older and belonging to a household of two or more members have negative effects. An interaction between digital skills and age has been introduced in the model, where high digital skills seem to have a positive influence, partly counteracting the lower odds for some age groups. Policy recommendations related to demand and supply measures are suggested to foster the adoption of e-commerce.
    Keywords: E-commerce; Digital divide; Linear probability model; Logistic regression; Heckman’s sample selection correction; Polychoric correlation; Digital skills; Time and regional dummies; Pool data; Utility maximization framework.
    JEL: C25 D11 O33
    Date: 2019–03
  2. By: Silvia Loi (Max Planck Institute for Demographic Research, Rostock, Germany); Joonas Pitkänen; Heta Moustgaard; Mikko Myrskylä (Max Planck Institute for Demographic Research, Rostock, Germany); Pekka Martikainen (Max Planck Institute for Demographic Research, Rostock, Germany)
    Abstract: Children of first-generation immigrants tend to have better health than the native population, but over generations, the health advantage of immigrant children deteriorates. It is, however, poorly understood how family resources can explain health assimilation, whether the process of assimilation varies across health conditions, and where on the generational health assimilation spectrum children with one immigrant and one native parent (exogamous families) lie. We seek to extend our understanding of the process of health assimilation by analyzing the physical and mental health of immigrant generations, assessing the role of exogamous family arrangements, and testing the contribution of family material and social resources on the offspring’s outcomes. We use register-based longitudinal data from a 20% random sample of Finnish households with children born in years 1986-2000, free of reporting bias and loss to follow-up. We estimate the risk of being hospitalized for somatic conditions, psychopathological disorders, and injuries by immigrant generation status. Our results show a negative health assimilation process with higher prevalence of physical and, in particular, mental health problems among second-generation immigrant children than among native children, and to first-generation immigrant children, that is only partially explained by family resources. We find that the children of exogamous families are at especially high risk of developing psychopathological disorders. These results provide strong support for the hypothesis that children of exogamous families constitute a specific health risk group, especially for psychopathological disorders, and that the role of the family seems to be is secondary to other unobserved factors.
    Keywords: Finland
    JEL: J1 Z0
    Date: 2019–05
  3. By: Breidenbach, Philipp; Eilers, Lea; Fries, Jan
    Abstract: This paper evaluates the rent control policy implemented in Germany in 2015. Like many countries around the world, German cities and metropolitan areas have experienced a strong increase in rental prices during the last decade. In response, the politicians aimed to dampen the rise in rental prices by limiting the landlords' freedom to increase rents for new contracts. To that end, the rent control was introduced. To evaluate the effectiveness of the rent control with respect to rental prices, we take advantage of its restricted scope of application. First, it is applied only in a selected number of municipalities, thereby generating regional variation. Second, the condition of rental objects generates an additional dimension of variation since new and modernised objects are exempt from rent control. Based on data for rental offers in Germany, we apply a triple-difference framework with regionspecific time trends as well as flat type-specific ones. Despite the high political expectations, our estimates indicate that the German rent control dampens rental price by only 2.5%. This effect varies across object characteristics and seems to be larger for lower-quality dwellings and in the lower price segment. Nevertheless, the application of an event-study indicates that these effects are not persistent over time.
    Keywords: rental prices,rent control,regional variation,regulation,diff-in-diff-in-diff,event study
    JEL: C23 R31
    Date: 2019
  4. By: Fritsch, Michael (University of Jena); Sorgner, Alina (John Cabot University); Wyrwich, Michael (University of Jena)
    Abstract: This paper analyzes the role of different types of institutions, such as entrepreneurship-facilitating entry conditions, labor market regulations, quality of government, and perception of corruption for individual well-being among self-employed and paid employed individuals. Well-being is operationalized by job and life satisfaction of individuals in 32 European countries measured by data from EU Statistics on Income and Living Conditions (EU-SILC). We find that institutions never affected both occupational groups in opposite ways. Our findings indicate that labor market institutions do not play an important role well-being. The results suggest that fostering an entrepreneurial society in Europe is a welfare enhancing strategy that benefits both, the self-employed and paid employees.
    Keywords: entrepreneurship, institutions, well-being, life satisfaction, job satisfaction
    JEL: L26 I31 D01 D91 P51
    Date: 2019–05
  5. By: O’Connor, Kelsey J.
    Abstract: Immigration is one of the most debated topics in Europe today, yet little is known about the overall effect of its multiple impacts. The analysis suggests natives need not worry. Increasing immigrant population shares have no statistically significant effects on natives’ well-being in 28 European Union countries over the years 1990- 2017 (EU12) and 2005-2017 (new member states) using macro data aggregated from Eurobarometer surveys. Immigration does not statistically affect natives’ well-being across all scenarios, such as: when observing the raw data or accounting for reverse causality and omitted variables using instrumental variable methods; accounting for whether or not immigrants are from the EU; and for population subgroups, notably the poorly educated and elderly. Refugees also do not statistically affect the well-being of natives. Any negative relations that are observed are not statistically significant and exhibit small magnitudes.
    Keywords: migration,refugees,life satisfaction,happiness,Eurobarometer
    JEL: I31 J11 O15
    Date: 2019
  6. By: Jirjahn, Uwe (University of Trier); Mohrenweiser, Jens (Bournemouth University)
    Abstract: While education and labor force participation of women have been increased, there is still a substantial gender gap in labor market opportunities. This gives rise to the question of what factors lead employers to promote work-family balance and gender equality. We address this question by examining the influence of works councils on the gender policies of establishments in Germany. Using data of the IAB Establishment Panel, we find that the incidence of a works council is associated with an increased likelihood that an establishment provides family-friendly practices and promotes equal opportunities of men and women. This finding also holds in a recursive multivariate probit model that accounts for potential endogeneity of works council incidence.
    Keywords: non-union employee representation, works councils, gender equality, work-family balance, equal opportunities, organizational gender policies
    JEL: J13 J16 J52 J53
    Date: 2019–05
  7. By: Elton Beqiraj; Silvia Fedeli; Luisa Giuriato
    Abstract: The impact of crime and counterfeiting on Italian trading firms has been rather neglected. Nevertheless, they are important drivers of trade in countries like Italy, whose economic activity is characterized by small/medium-sized firms, highly exposed to the risk of infringement of intellectual property rights by criminal activities of counterfeiting, and, at the same time, not averse to production/exchange of counterfeited goods. We employ a newly-built regional panel data set that includes both economic variables and indicators of counterfeiting activities and criminality during the period of deep economic crisis (2008-2013). Using a dynamic panel data model, we study how counterfeiting affects trade indicators of the Italian firms. We find that commercial exchanges increase when regions are hubs of production or transit points for fakes. The benefit on trade should not hide the consequences of counterfeiting in terms of loss of private investors’ confidence, limits to business innovation and destruction of competitiveness. We also show that profitable counterfeiting activities that target high-value, high-quality goods, and challenge business innovation and competitiveness of the export-oriented firms, have significant depressing impacts on both export and the degree of trade openness.
    Keywords: Trade openness; Export; Small firms; Criminality; Counterfeit
    JEL: E26 F14 F19
    Date: 2019–04
  8. By: Corneo, Giacomo G.; Neidhöfer, Guido
    Abstract: We analyze the effects of governmental redistribution of income on migration patterns,using an Italian administrative dataset that includes information on almost every Italian citizen living abroad. Since Italy takes a middle ground in terms of redistribution, both the welfare-magnet effect from more redistributive countries and the propensity of the high-skilled to settle in countries with lower taxes can be empirically studied. Our findings confirm the hypothesis that destination countries with more redistribution receive a negative selection of Italian migrants. This holds true after accounting for many individual and country level covariates, migration costs, and when testing for stochastic dominance of the skill distributions of migrants and stayers. Policy simulations are run in order to gauge the magnitude of these migration effects. Based on estimated elasticities, we find that sizable increases in the amount of redistribution in Italy have small effects on the skill composition of the resident population.
    Keywords: Roy-Model,Self-selection,Migration,Redistribution
    JEL: D31 F22 H23 J61 O15
    Date: 2019
  9. By: Giuseppe Arcuri; Nadine Levratto; Aziza Garsaa; Lara Abdel Fattah
    Abstract: This paper investigates the role of regional context with regard to human capital and knowledge spillover effects in SMEs’ financial soundness. Our empirical setting is based on the multilevel analysis for panel data, which better allows for the treatment of hierarchical data. It is applied to firms belonging to the industrial sector and operating in four European countries over the 2010–2015 period. We find that a combination of individual- and regional-level characteristics explain firm soundness more accurately than individual features alone. Furthermore, we find that a higher local educational level and knowledge spillover improve the firm soundness.
    Keywords: Entreprise et territoire, capital humain, robustesse financière de l'entreprise, modèle multiniveau
    JEL: I25 L26 R11 C33
    Date: 2019
  10. By: Cantarella, Michele (University of Modena and Reggio Emilia); Strozzi, Chiara (University of Modena and Reggio Emilia)
    Abstract: In this paper, we compare wages and labor market conditions of individuals engaged in online platform work and in traditional occupations by exploiting individual-level survey data on crowdworkers belonging to the largest micro-task marketplaces, focusing on evidence from the United States and Europe. To match similar individuals, survey responses of crowdworkers from the US and EU have been harmonised with the American Working Conditions Survey (AWCS) and the European Working Conditions Survey (EWCS). Our findings indicate that traditional workers retain a significant premium in their earnings with respect to online platform workers, and that those differences are not affected by the observed and unobserved ability of individuals. This holds true also taking into account similar levels of routine intensity and abstractness in their jobs, as well as the time spent working. Moreover, labour force in crowdworking arrangements appears to suffer from high levels of under-utilisation, with crowdworkers being more likely to be left wanting for more work than comparable individuals.
    Keywords: crowdwork, online platform economy, micro-tasks, routine intensity, labour market conditions
    JEL: J31 J42
    Date: 2019–05
  11. By: Thomas Douenne (Paris School of Economics – Université Paris 1 Panthéon Sorbonne); Adrien Fabre (Paris School of Economics – Université Paris 1 Panthéon Sorbonne)
    Abstract: Using a new survey and National households' survey data, we investigate French perception over carbon taxation. We find that French people largely reject a tax and dividend policy where revenues of the tax would be redistributed uniformly. However, their perception about the properties of the tax are biased: people overestimate the negative impact on their purchasing power, wrongly think the scheme is regressive, and do not perceive it as environmentally effective. Our econometric analysis shows that correcting these three bias would suffice to generate majority acceptance. Yet, we find that people's beliefs are persistent and their revisions biased towards pessimism, so that only few can be convinced.
    Keywords: Climate Policy, Carbon tax, Bias, Beliefs Preferences
    JEL: D72 D91 H23 H31 Q58
  12. By: Teresa Backhaus; Kai-Uwe Müller
    Abstract: Does the federal minimum wage in Germany introduced in 2015 improve the income situation of low income households and reduce in-work poverty? Previous literature on its distributional impact was either focused on earnings and hourly wages (e.g. Caliendo et al., 2017), or is based on ex-ante simulations (e.g. Müller and Steiner, 2013). This paper provides systematic descriptive ex-post evidence on the distributional implications of the German minimum wage on wages and disposable household incomes as well as some underlying mechanisms. We analyze various measures of hourly wage and disposable household income distributions, both, for the group of affected individuals and the entire population. Most approaches identify individuals affected by the minimum wage based on pre-reform wages ignoring large job fluctuations and measurement error at the bottom of the wage distribution. In contrast, we define the group of affected by people’s relative position in the wage distribution in each respective year. Full compliance scenarios are simulated at the actual and markedly higher minimum wage levels to interpret observational outcomes and gauge the redistributive potential of the minimum wage. We find evidence for wage increases at the bottom of the wage distribution. Effects on wage inequality are limited because of non-compliance, difficulties in hourly wage measurement in certain types employment, and unequal wage growth across the distribution. Confirming previous simulation evidence the minimum wage proves to be an ineffective tool for the redistribution of disposable household incomes. Overall inequality has even increased slightly as incomes of poor households grew below average. Affected households are not found primarily at the bottom, but rather in the middle of the income distribution. Working hours of individuals and earnings of other members in households affected by the minimum wage decreased. Benefit withdrawal is of minor importance as welfare transfers and top-up benefits were only marginally reduced by the minimum wage.
    Keywords: minimum wage; wage distribution; income distribution
    JEL: J31 D31 J30
    Date: 2019
  13. By: Ingwersen, Kai; Thomsen, Stephan L.
    Abstract: This study provides new evidence on the levels of economic integration experienced by foreigners and naturalised immigrants relative to native Germans from 1994 to 2015. We decompose the wage gap using the method for unconditional quantile regression models by employing a regression of the (recentered) influence function (RIF) of the gross hourly wage on a rich set of explanatory variables. This approach enables us to estimate contributions made across the whole wage distribution. To allow for a detailed characterization of labour market conditions, we consider a comprehensive set of socio-economic and labour-related aspects capturing influences of, e.g., human capital quality, cultural background, and the personalities of immigrants. The decomposition results clearly indicate a significant growing gap with higher wages for both foreigners (13.6 to 17.6 %) and naturalised immigrants (10.0 to 16.4 %). The findings further display a low explanation for the wage gap in low wage deciles that is even more pronounced within immigrant subgroups. Cultural and economic distances each have a significant influence on wages. A different appreciation of foreign educational qualifications, however, widens the wage gap substantially by 4.5 ppts on average. Moreover, we observe an indication of deterioration of immigrants’ human capital endowments over time relative to those of native Germans.
    Keywords: Immigration,wage gap,unconditional quantile regression,Germany
    JEL: J61 J31 J15
    Date: 2019
  14. By: Joanne Lindley (Kings College London); Steven McIntosh (Department of Economics, University of Sheffield)
    Abstract: This paper considers home ownership rates for different generational cohorts in the UK, and how they are related to family background, as measured by parental occupation status. The results show home ownership rates have fallen across recent generational cohorts, even when they are compared at the same stage in their lives. Concurrent with this fall, there has been an increasing importance of family background in determining whether an individual owns their own home. While such an effect has always been present for individuals who do not reach the higher levels of education or occupation hierarchies, this is a newer phenomenon for successful graduates in professional/managerial occupations, for whom home ownership is also now strongly related to family background amongst the Millennial cohort.
    Keywords: Home ownership, social mobility
    JEL: D64 J62 O18
    Date: 2019–05
  15. By: Sven Wardenburg (Department of Geography, Philipps University Marburg); Thomas Brenner (Department of Geography, Philipps University Marburg)
    Abstract: The paper analyzes the impact of the two major German regional development and redistribution policies, the municipal fiscal equalization scheme and the economic funds GRW, on perceived regional living conditions, measured through interregional migration between German labor market regions. Using a spatial vector-autoregressive panel model (SpVar), we find evidence that equalization transfers have a significant positive impact on perceived living conditions and contribute to the aim of regional equity. These effects are especially found for regions with low endogenous fiscal capacities. GRW funding reveals no significant effects on net migration rates in total, but short-term effects in rural regions.
    Keywords: amenities, fiscal equalization, impulse-response functions, living conditions, migration, policy, SpVar
    JEL: C33 R23 R58 O38
    Date: 2019–05
  16. By: Delaporte, Isaure
    Abstract: A growing concern in Western countries is the fact that immigrants might adopt oppositional identities. Although identity is expected to affect the economic outcomes of immigrants, little is known about the factors that in uence the identity choice of the migrants and thus, their employment outcomes. This study investigates the effect of the 9/11 terrorist attacks on the process of identity formation and the employment outcomes of Turkish immigrants in Germany. Using longitudinal data from the German Socio-Economic Panel, this study relies on a difference-in-differences strategy to compare the outcomes of Turks with non-Turks before and after the attacks. The results show that Turks have adopted more extreme identities after 9/11 compared to non-Turks: they are more likely to feel completely German; they are less likely to feel in some respects Turkish whereas they are more likely to feel mostly Turkish. There is no significant impact of the 9/11 terrorist attacks on the Turks' employment outcomes relative to non-Turks.
    Keywords: Immigrant,Integration,Ethnic Identity,Employment,Terrorism,Difference-in-Differences Estimation
    JEL: J15 J71 Z13
    Date: 2019
  17. By: Nicola Daniele Coniglio (Università degli Studi di Bari "Aldo Moro"); Rezart Hoxhaj (Migration Policy Centre, Robert Schuman Centre for Advanced Studies, EUI); Hubert Jayet (University of Lille, Faculté des Sciences économiques et sociales)
    Abstract: In this paper we study the allocation of time devoted to informal learning and education, i.e. those activities carried out during leisure time and outside formal education courses which boost individuals’ human and social capital. For immigrants the private investment in these activities is likely to have relevant external effects as informal learning and education enhances the likelihood of greater socio-economic integration in the host society. We first develop a simple theoretical framework, which allows us to highlight the different constrains/opportunity costs faced by immigrants as compared with natives. Then, we empirically investigate the determinants of participation in informal education using the American Time Use Data (ATUS; period 2003-2015) which contains detailed information on daily time budgets of a large sample of immigrants and natives in the US. Consistently with a theoretical model of time allocation we find evidence that immigrants are more likely to engage in informal education and, conditional on participation, they allocate more time to these activities. Over time, immigrants show a higher degree of assimilation into the host society. Our results also highlight heterogeneous patterns across gender.
    Keywords: immigrants; time use; education; human capital
    JEL: J15 J22 I20
    Date: 2019–05
  18. By: Faggio, G.; Schluter, T.; vom Berge, P.
    Abstract: We use the move of the seat of the German government from Bonn to Berlin in 1999 to test competing views about the impact of public employment on private sector activity in a local labor market. A relocated public sector job might create new jobs in an area as it increases demand for locally-produced goods and services, or crowd out existing jobs due to upward pressure on housing rents. Using employment data from a panel of a 50% sample of establishments across 190 Berlin postcodes, we apply a treatment intensity approach which takes the possibility of spillovers into account. Results indicate that the arrival of 100 public sector jobs into an area generates 55 additional jobs in the private sector. There is evidence of spillovers: relocations up to a distance of 1km from a postcode boundary increases employment in the private sector by 36 jobs. These effects are coming through job gains in the service sector, while manufacturing employment is not influenced by the relocation.
    Keywords: Regional government policy; regional labor markets; job displacement; economic development
    Date: 2019
  19. By: Jonathan Eberle (Department of Geography, Philipps University Marburg)
    Abstract: Regional fiscal equalization in Germany aims to reduce fiscal disparities by allocating financial resources to less promising regions in order to support the supply of public goods. This paper aims to analyse secondary economic effects of regional fiscal equalization on several economic in- and output variables. Additionally, the paper examines the potential regional characteristics to influence the transformation of fiscal inputs into economic outcomes. Lastly, I compare the effects of fiscal equalization to these of the major German structural funding program GRW. My findings reveal a significant positive effect of fiscal equalization on the regional employment rate. Moreover, the findings suggest different transmission channels of fiscal equalization in East and West Germany. Particularly, I find higher effects in right-wing CDU/CSU preferring regions on the employment, human capital and private-sector investment rate. Finally, while structural funding affects more economic variables significantly, the magnitude of the estimated economic responses of fiscal equalization compared to these of German structural funding are not statistically different.
    Keywords: fiscal equalization, regional economic growth, production function, political ideology, SpPVAR, impulse response function
    JEL: C33 E62 R11 R58 O38 O47
    Date: 2019–01
  20. By: Felicitas Schikora
    Abstract: This paper analyzes the effect of a recently introduced policy reform on participation in integration courses and on certified language proficiency levels among refugees in Germany. The residence rule restricts initial residence for refugees with a permanent residence permit. Given that treatment intensity varies distinctly across states, I utilize this quasi-experiment and apply a difference-in-differences approach. Using an innovative data-set, the IAB-BAMF-SOEP Survey of Refugees, I find that stricter statutory provisions have a positive effect on the probability to complete a language course and on the level of certified language proficiency. The results indicate that this effect is driven partly by spatial mismatch.
    Keywords: Migration, Refugees, Language Acquisition, Placement Restriction, Quasi-Experiment
    JEL: J15 J60
    Date: 2019
  21. By: Hirsch, Boris (Leuphana University Lüneburg); Jahn, Elke J. (University of Bayreuth); Zwick, Thomas (University of Würzburg)
    Abstract: We investigate how the demographic composition of the workforce along the sex, nationality, education, age, and tenure dimension affects voluntary turnover. Fitting duration models for workers' job-to-job moves that control for workplace fixed effects in a representative sample of large manufacturing plants in Germany during 1975–2016, we find that larger co-worker similarity in all five dimensions substantially depresses voluntary turnover whereas workplace diversity is of limited importance. In line with conventional wisdom, which has that birds of one feather flock together, our results suggest that workers prefer having co-workers of their kind and place less value on diverse workplaces.
    Keywords: workforce demography, co-worker similarity, workplace diversity, voluntary turnover
    JEL: J63 J62 J21 J19
    Date: 2019–05
  22. By: Waterson, Michael (University of Warwick); Xie, Jian (University of Warwick)
    Abstract: We investigate the London bus market, a large market with regular procurement of bus services, for possible collusion using a wide variety of techniques, making use of the data at our disposal. There is little evidence of collusion in bidding for contracts apparent from our data, despite some features of the market that might lead to collusive behaviour.
    Keywords: Cartel behaviour ; Procurement ; Detecting Cartels ; Bus market
    JEL: D44 L41 L92 D22
    Date: 2019

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