|
on Microeconomic European Issues |
|
Issue of 2019‒09‒30
twenty-six papers chosen by Giuseppe Marotta Università degli Studi di Modena e Reggio Emilia |
| By: | Van Wolleghem, Pierre Georges; De Angelis, Marina; Scicchitano, Sergio |
| Abstract: | Whilst migration has become a structural feature of most European countries, the integration of foreigners in the labour market continues to raise concerns. Evidence across countries shows that migrants are more often over-educated than natives. Over the last years, scholarship has intended to capture the effect of informal networks on migrants’ over-education. Interestingly, no study has looked into the Italian case, yet a country for which the effect of networks on education-occupation mismatch is well documented. This article has two objectives: it assesses the extent to which over-education affects migrants and it evaluates the role informal networks play in producing it. We find that foreigners are more over-educated than natives but that the role of networks is consistent across the two groups. Empirical evidence is drawn from the application of quantitative and counter-factual methods to PLUS 2018 – Participation, Labour, Unemployment Survey. |
| Keywords: | Network,Over-education,Migrants,labour market |
| JEL: | F22 J61 Z13 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:glodps:398&r=all |
| By: | Klaus Gugler (Research Institute for Regulatory Economics, Vienna University of Economics and Business); Adhurim Haxhimusa (Institute for Quantitative Economics, Research Institute for Regulatory Economics, Vienna University of Economics and Business); Mario Liebensteiner (Institute for Resource and Energy Economics, TU Kaiserslautern) |
| Abstract: | We compare the effectiveness of different climate policies in terms of emissions abatement and costs in the British and German electricity markets. The two countries follow different climate policies, allowing us to compare the effectiveness of a relatively low EU ETS carbon price in Germany with a significantly higher carbon price due to a unilateral top-up tax (the Carbon Price Support) in the UK. We first estimate the emissions offsetting effects of carbon pricing and of subsidized wind and solar feed-in, and then derive the abatement costs of one tonne of CO2 for the different policies. We find that a reasonably high price for emissions is the most cost-effective climate policy, while subsidizing wind is preferable to subsidizing solar power. A carbon price of around EURO 35 is enough in the UK to induce vast short-run fuel switching between coal- and gas-fired power plants, leading to significant emissions abatement at low costs. |
| Keywords: | Climate change policy, Carbon price, EU ETS, UK Carbon Price Floor, UK Carbon Price Support, Subsidization of renewables |
| JEL: | L94 L98 Q38 Q54 Q58 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wiwwuw:wuwp293&r=all |
| By: | Arthur Acolin |
| Abstract: | This article analyses how differences in outcomes between owner and renter households vary across countries based on institutional features such as rental lease lengths. A substantial literature is devoted to identifying benefits associated with owning relative to renting (including in terms of civic participation, income, children educational outcomes, health) and the mechanisms driving these differences. The higher level of residential stability associated with homeownership has been identified as a potential driver. This paper uses microdata from the European Union Statistics on Income and Living Conditions (EU-SILC) for 24 countries to explore whether differences in outcomes between owners are renters vary across countries and whether they are systematically smaller when the differences in length of residence across tenure is smaller. Given the wide differences in tenure mix and length of residence across European countries, the EU-SILC data provides the opportunity to identify to what extent outcomes such as income, workforce participation, life satisfaction and social engagement are more similar across tenure types when length of residence is more similar. The results indicate that the direction of the relationship between tenure and the selected outcomes tend to be similar across countries although stronger in some than other with owners generally obtaining more desirable outcomes. When looking at the relationship between differences in length of tenure for owners and renters and outcomes, findings suggest that owners have outcomes more similar to renters in countries in which the difference is smaller. These results point to the potential benefits of policies that would increase residential stability for renters. |
| Keywords: | European Union; Homeownership benefits; Length of residence; Tenure |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_65&r=all |
| By: | Bütler, Monika; Stadelmann, Sabrina |
| Abstract: | Home ownership is not only an important asset, but also provides an in-kind income stream. If individuals use pension savings to purchase real estate they face a trade-off between alleviating borrowing constraints when young and lower liquid retirement means when old. We study the decision to withdraw retirement assets in advance for home purchase by analyzing a recent reform. A change in regulations made such withdrawals more difficult, as it increased the amount of non-pension equity a borrower has to provide for a home purchase. Using individual-level data from a large Swiss occupational pension provider, we find fewer advanced withdrawals after the reform, mainly driven by individuals with lower income and of older age. For the withdrawers, the average share of pension assets withdrawn decreased. Nonetheless, the reform did not jeopardize the policy to facilitate home ownership via anticipated second pillar withdrawals. |
| Keywords: | Retirement, annuity, home ownership |
| JEL: | D81 D91 H24 J26 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:usg:econwp:2019:13&r=all |
| By: | Nerijus Cerniauskas (Bank of Lithuania & Vilnius University); Andrius Ciginas (Bank of Lithuania & Vilnius University) |
| Abstract: | Despite Lithuania’s household income inequality being among the highest in the European Union (EU), little empirical work has been carried out to explain such disparities. In this article, we use the EU Statistics on Income and Living Conditions sample micro data. We confirm that income inequality in Lithuania is high compared to the EU average and find that it is robust to inequality measure or equivalence scale used. We have also decomposed household disposable income inequality by subgroups and factors. We find that the number of employed household members in Lithuania’s households affects income inequality more as compared to the EU. It is related to a larger labour income, and self-employment income in particular, contribution to inequality in Lithuania as opposed to the EU. Moreover, transfers and taxes have a smaller impact on reducing inequality in Lithuania than in the EU. |
| Keywords: | Income inequality, factor decomposition, subgroup decomposition, Lithuania, European Union |
| JEL: | D31 |
| Date: | 2019–09–20 |
| URL: | http://d.repec.org/n?u=RePEc:lie:dpaper:14&r=all |
| By: | Jurgita Banyte; Vida Maliene |
| Abstract: | Economic, social and environmental factors have a substantial impact on the performance of the commercial property market in Europe. Quantitative and qualitative factors such as globalization, monetary and fiscal policies or investors` expectations, influence property market dynamics, specifically extensive market fluctuations. However, the literature on property investment environments in Europe, reveals that some European countries exercise fitting management of property market fluctuations through various policies, these applicable at a national level. As such, there is the need to recognize and share successful policy and apply the best practice across the Europe.This presentation discusses research involving a comparative analysis of office market dynamics and related policies, which can impact market fluctuations in the UK, Sweden, Germany and France. A list of criteria which represent healthy office market conditions and promote successful property investment, have been determined and will also be discussed. The criteria have been established following a critical analysis of the literature and primary research (a survey for professionals). A mix of methods were applied to establish the significance of said criteria. The intermediate results from this research will inform further research to establish a framework for a sustainable commercial property market in the UK. |
| Keywords: | office property market; property market dynamics; property market fluctuation |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_98&r=all |
| By: | Kevin Cutsforth; Michael White |
| Abstract: | The global financial crisis caused house prices to fall across the UK and in many other countries. Even before the crisis, as evidenced by the increased age of first owner-occupation, younger age groups found it harder to enter homeownership due increases in the house price to income ratio. This was compounded by the financial crisis that resulted in tighter lending conditions and decreases in the maximum available loan-to-value (LTV) ratio. Whereas LTVs before the crisis could reach 100%, after the crisis the maximum available had fallen to 75%. This made access to homeownership even harder particularly for younger age cohorts who struggled to save for large downpayments.The UK government sought to simulate the housing market, make homeownership achievable, and overcome downpayment constraints via the introduction of the Help-to-Buy scheme in 2013. The scheme enabled borrowers to effectively increase their LTV to 95% reducing the downpayment hurdle. Further, it stimulated new housing development and the proportion of first-time buyers increased.Using panel data from the English Housing Survey from 2008 to 2016, our research seeks to identify the impact of this policy intervention, amongst a range of other factors, on tenure choice and transitions. In addition, it seeks to identify how impacts vary across age groups and regions and therefore provide evidence as to who and where have been impacted most by policy change. |
| Keywords: | Housing Policy; Panel Data; Tenure Choice |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_317&r=all |
| By: | Anne Ardila Brenoe; Ulf Zölitz |
| Abstract: | This paper investigates how high school gender composition affects students’ participation in STEM at college. Using Danish administrative data, we exploit idiosyncratic within-school variation in gender composition. We find that having a larger proportion of female peers reduces women’s probability of enrolling in and graduating from STEM programs. Men’s STEM participation increases with more female peers present. In the long run, women exposed to more female peers are less likely to work in STEM occupations, earn less, and have more children. Our findings show that the school peer environment has lasting effects on occupational sorting, the gender wage gap, and fertility. |
| Keywords: | gender, peer effects, STEM studies |
| JEL: | I21 J16 J31 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_7829&r=all |
| By: | Moritz Starzer; Wolfgang Feilmayr; Wolfgang Brunauer |
| Abstract: | The aim of this paper is to study the processes and factors that influence the average land price of municipalities in Austria using statistical models. For this purpose, we use a dataset of 1667 Austrian municipalities. The location is clearly one of the most important factors influencing land prices. Therefore, land price data are spatial data. When modelling spatial data, spatial effects must be taken into account. In the case of land price data this is primarily the effect of spatial dependence. Spatial dependence therefore must be incorporated in the model specification. Model specifications coming from the field of spatial econometrics, especially spatial autoregressive models, and methods from the field of geostatistics, especially kriging methods, are able to account for spatial dependence.By comparing these spatial model specifications with classical non-spatial model specifications, one can clearly show that the model-fit can significantly be increased by spatial model specifications. This shows that the process that generates the land price is a spatial process. |
| Keywords: | Geostatistics; land price; SAR models |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_23&r=all |
| By: | Ciani, Emanuele (Bank of Italy); Delavande, Adeline (University of Essex); Etheridge, Ben (University of Essex); Francesconi, Marco (University of Essex) |
| Abstract: | Subjective expectations about future policy play an important role in individuals' welfare. We examine how workers' expectations about pension reform vary with proximity to reforms, information cost, and aggregate information acquisition. We construct a new pan-European dataset of reform implementations and government announcements, and combine it with individual-level representative survey data on expectations about future reforms and country-level data on online search. We find: (1) Expectations are revised upward by about 10 percentage points in the year leading up to a reform, from a median of 50%, regardless of whether the reform is announced; (2) Aggregate online search increases after announcements, when the cost of information is lower; (3) Reform announcements and online information gathering are substitutes in the formation of expectations; (4) Expectations do not converge as a result of announcements or implementations; (5) The effect of information on expectations varies substantially across workers and systematically with observed characteristics that proxy cognitive ability and information value. These findings, interpreted using a model of rational inattention, reveal substantial informational rigidities, with welfare costs that run into trillions of Euros. |
| Keywords: | expectations, retirement, pension reform uncertainty, reform announcement, online search, rational inattention |
| JEL: | C8 D84 D91 J14 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12604&r=all |
| By: | Jonas Jessen; Sophia Schmitz; Sevrin Waights |
| Abstract: | We document day care enrolment gaps by family background in a country with a universal day care system (Germany). Research demonstrates that children of less educated or foreign-born parents can benefit the most from day care, making it important to understand why such enrolment gaps exist. Using a unique data set that records both stated demand and actual usage of day care we demonstrate that differences in demand cannot fully explain the enrolment gaps. Investigating supply-side factors using quasi-experimental designs, we find that reducing both parental fees and scarcity of places significantly decreases enrolment gaps by parental education but not by parental country of birth. We discuss implications for policy. |
| Keywords: | child care, early education, inequality, socio—economic status, discrimination, synthetic control |
| JEL: | I24 J13 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cepdps:dp1650&r=all |
| By: | Alejandro Bello-Pintado (Universidad Pública de Navarra (España)); Felipe Berrutti (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía); Carlos Bianchi (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía); Pablo Blanchard (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía) |
| Abstract: | According to two basic building blocks of neo-Schumpeterian economics, firms innovation process shows idiosyncratic features related to their specific characteristics of the firm and of the environment where it acts. Moreover, firms innovation is recognized as an interactive process. Hence, due to systemic functioning, it is expected that the effect of two simultaneous external linkages will be different from the sum of their isolated effects. However, the external search for knowledge and information sources (KISs) may present constraints related to the searching costs and the cognitive distance between the firm and the KISs. This paper aims to contribute empirical evidence to revisit these theoretical building blocks by analyzing the search strategies conducted by firms. We identify three types of external KISs and analyze the effects of eight search strategies (KIS combinations) on firms innovation behavior. In addition, we test the complementarity or substitution effects of the simultaneous use of different KISs on the innovation behavior – effort and performance – of Uruguayan firms. We identify the specific effect of different KIS combinations but find no evidence of a linear relation between search scope and innovation behavior. Moreover, we find evidence of complementary effects between relatively closer and more distant KISs and substitution effects between relatively near KISs. |
| Keywords: | information sources, search strategy, complementarity, supermodularity |
| JEL: | D22 D83 L25 O32 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:ulr:wpaper:dt-18-19&r=all |
| By: | Kreutzmann, Ann-Kristin; Marek, Philipp; Salvati, Nicola; Schmid, Timo |
| Abstract: | More than 25 years after German reunification, key economic indicators for households living in eastern German regions are still below the western German levels. This particularly holds for private net wealth, which reaches only about 40% of the western German level. However, a more granular regional perspective may reveal a more diverse picture. Therefore, this study is designed to develop regional wealth indicators for the 16 federal states and for the 96 regional planning regions (Raumordnungsregionen) in Germany based on the second wave of the Panel on Household Finances (PHF) conducted by the Deutsche Bundesbank in 2014. These estimates are derived by means of a modified Fay-Herriot approach (Fay and Herriot, 1979) dealing with a) the skewness of the wealth distribution using a transformation, b) unit and item non-response, especially the multiple imputation used, and c) inconsistencies of the regional estimates with the national direct estimate. The results show that private wealth in all eastern German regions still remains far below the national average. However, the wealthiest planning regions in the east report higher private wealth figures than the western German regions with the lowest private wealth estimates. Although the paper is particularly focused on Germany, the approach proposed is applicable to surveys with a similar data structure. |
| Keywords: | small area estimation,non-response,multiple imputation,private wealth distribution |
| JEL: | C13 C83 D13 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:bubdps:352019&r=all |
| By: | Elena Ionascu; Marilena Mironiuc; ; Maria Carmen Huian |
| Abstract: | The stability of the housing market is crucial for sustainable development, and the monitoring and assessing housing price dynamics has become a standard practice in macro-financial supervision. In accordance with the EU approach to sustainable development, the paper aims to explore the relationship between housing prices as an informative indicator of the market and sustainability dimensions in the EU countries. Through an econometrical approach, the social and environmental implications on the housing market are investigated in relation to economic development as the most important factor for supporting sustainable practices. Variables that describe housing conditions, living environments and housing affordability are used as social measures, and energy consumption, renewable energy consumption and gas emissions as indicators of the environment. The low perception of the households about the sustainable effects on the housing prices is outlined. Housing fundamentals, such as disposable income, credit conditions and housing supply (construction costs and building permits) remain the most important factors that determine the household decisions. Based on the research result, policy implications are formulated in relation to the current conditions for sustainable development. |
| Keywords: | Environment; Housing Prices; policy implications; Social; sustainability |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_345&r=all |
| By: | Frans Schilder |
| Abstract: | The Netherlands, like countries throughout Europe, face enormous challenges realizing the goals set in the 2015 Paris agreement. Real estate, and more specifically residential real estate, bears the potential to contribute significantly to realizing climate goals. Towards meeting the Paris agreement goals the Dutch housing market will need to become energy neutral in 2050. Progress in making housing more energy efficient has been slow so far. Possibly as a result of the slow pace of investments in energy efficiency anticipated price decreases following the industrialization of energy solutions are yet to be realized. Housing associations have recently proposed to become the frontrunner in the energy transition on the housing market: economies of scale, a limited number of agents owning roughly 30% of the total housing stock, and fairly deep pockets make good arguments for this ambition. However, this ambition comes at a cost as well: how feasible is kickstarting the energy transition within the sector in charge of housing the lowest income households? What are the necessary conditions to make this kickstart work? And what are broader welfare implications, in terms of (reduced investment potential in) local living conditions, and affordability? Some preliminary findings of a mixed-methods study. |
| Keywords: | Energy transition; Housing Associations; Mixed-methods; Social Housing |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_313&r=all |
| By: | Dohmen, Dieter; Yelubayeva, Galiya; Wrobel, Lena |
| Abstract: | [Surveys on adult education participation in Europe] In light of the growing importance of lifelong learning and the increased skills demand more and more studies focus on adult education statistics to derive policy recommendations. In part, the project VoRREFi-WB ("Economic and regional costs, funding structures and benefits of continuing education") aims to producing a more grounded analysis of perspectives on adult education and to contribute to the discussion of several EU policy objectives, especially with respect to the follow-up indicators of the Lisbon strategy and the new Europe 2020 strategy. There is an urgent need for a common understanding of adult education statistics to overcome misinterpretations of Europe-wide comparable datasets on adult education. This paper provides an in-depth analysis of issues related to adult learning classifications and statistical concerns as well as an analysis of the development and performance of the adult education sector in Europe. The main overarching policy objectives to which the VoRREFi-WB project contributes include: * Analysing trans-European data on the adult education sector to monitor the multiplicity of adult learning and to develop evidence-based policies; * Achieving better insights about and understanding of the participation of adult learning, its participants, providers and nature. In the literature, analysts use a variety of concepts of training. Moreover, compared to compulsory education and higher education, data on adult education are limited due to their varied nature and the high dispersion of providers. Since for their surveys analysts must draw on what is available in terms of data, the emphasis is generally placed on simple measures of training participation, for example, whether training has been received during a particular time period. Furthermore, are statistical issues arise from the method of data collection as well as the varied wording of survey questions. Thus far, the literature is less focused on training aspects such as its duration, purpose, funding, location and the number of courses taken. These concepts have, however, often been regarded as important in more general discussions about the provision of training. To restate, this paper aims to fill the gap in the analysis of statistical data collection of adult education surveys, to provide a holistic analysis of the content and comparability of surveys as well as of current trends with comprehensive data split by contextual factors. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:fibsfo:65&r=all |
| By: | Bryson, Alex (University College London); Forth, John (Cass Business School); Gray, Helen (Institute for Employment Studies (IES)); Stokes, Lucy (National Institute of Economic and Social Research (NIESR)) |
| Abstract: | Focusing on private sector workplaces in Britain, we investigate whether the employment of older workers has implications for workplace performance. We find no significant association between changes in the proportion of older workers employed and changes in workplace performance. We find some evidence that workplace labour productivity falls where the proportion of 'middle-aged' workers falls, either due to a rise in the proportion of older or younger workers, but this association does not carry through to financial performance. Overall, the findings suggest that any reluctance on the part of employers to employ greater numbers of older workers may be misplaced. |
| Keywords: | older workers, productivity, workplace employment relations survey |
| JEL: | J21 J23 J24 J63 L25 M51 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12598&r=all |
| By: | Alain Coen; Raphael Languillon; Arnaud Simon; Saadallah Zaiter |
| Abstract: | The aim of this paper is to investigate if financialization and metropolization are two converging dynamics. We aim to verify if the most financialized European public property companies are also the main actors in the metropolization process through their portfolio arbitrages. We find that, between 2002 and 2016, the financialized European public property companies (F-companies) and the non-financialized European public property companies (NF-companies) exhibit a tendency to disinvest the non-urban spaces, to reinvest in the Hinterlands for the NF-companies, to reinvest in the Core for the F-companies, at least in relative terms. We also find that, in relative terms, the F-companies reallocated their portfolio toward the Large metropoles, in particular in Germany, France and Switzerland while the non-financialized REITs shifted their portfolio toward the others segments (exclusively toward the Metropoles segment for Sweden). Belgium is exception, with a reversed evolution. In order to analyze the differences in the behavior of F-companies and NF-companies, we introduce a new score transparency index. Our results suggest that F-companies are more transparent than NF-companies. They are larger in size, less dominated by insiders, are followed by more analysts and they have greater institutional ownership. The results of a logistic regression also show that F-companies have higher liquidity than NF-companies. |
| Keywords: | European public real estate companies; financialization; Metropolization; Transparency |
| JEL: | R3 |
| Date: | 2019–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:arz:wpaper:eres2019_101&r=all |
| By: | de Grip, Andries (ROA, Maastricht University); Fouarge, Didier (ROA, Maastricht University); Montizaan, Raymond (ROA, Maastricht University) |
| Abstract: | Pension schemes in the Netherlands allow workers to redistribute their own pension wealth to increase the survivor pension of their partner. However, due to lacking communication and knowledge of survivor pensions among workers, and also due to the lack of transparent products and choice architecture, redistribution remains limited. This paper uses a stated preferences experiment that is explicitly designed for workers with a partner in the age group of 55 to 65 years to elicit their pension redistribution preferences. We find that, on average, the preferred pension wealth redistribution amounts to 50%. 35% of all individuals have such a preference. 33% of all individuals would prefer less redistribution, and 32% percent prefers to redistribute more pension income to the partner upon one's death. We further show that total family income during working life does not affect the redistribution to survivor pensions. However, the distribution of the contribution to total family income before retirement across partners, as well as the survival likelihood of the partner and the number of years the partner is expected to survive, have a significant causal impact on the preferred pension redistribution decision. The preference for redistribution to survivor pensions also depends significantly on personal characteristics, preferences and social attitude. Males have a significantly stronger preference for redistribution compared to females. Moreover, forward-looking, more risk averse and more altruistic individuals have a stronger preference to redistribute part of their pension wealth to a survivor pension. Finally, in particular when employees have the perception that their partner is more forward looking, they are willing to invest more in a survivor pension. |
| Keywords: | stated preferences experiment, redistribution of pension wealth, survivors pension, economic preferences |
| JEL: | J14 J26 D31 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12625&r=all |
| By: | Heindl, Peter; Schüßler, Rudolf |
| Abstract: | In this paper, subjective and objective aspects of deprivation are used to derive an aggregated multidimensional measure of energy poverty. The proposed measure is based on deprivation with a direct relation to energy consumption, but it also accounts for excessive financial restrictions due to energy costs, it gives priority to low income households, and controls for economic energy use. Based on logistic regression, we find strong effects of income and energy expenditure on the likelihood of energy deprivation in Germany, but these variables only partially constitute energy poverty. Other aspects, e.g. employment status or housing conditions, play an important role as well. |
| Keywords: | energy deprivation,energy poverty,fuel poverty |
| JEL: | I32 D63 Q48 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:19036&r=all |
| By: | Huber, Katrin |
| Abstract: | This paper investigates whether the effects of affordable and easily available public child care on fertility and maternal employment depend on the career costs of children a woman faces. It builds on the idea that these costs vary by occupation and education. In a generalized Diff-in-Diff, I exploit the substantial variation between West German counties concerning intensity and speed of the provision of new child care slots for under-three-year-olds. The combination of county-level data on child care coverage with detailed individual-level information from the German social security records allows me to analyze so far unexplored effect heterogeneities by occupational groups. The results indicate that the average positive effects on fertility and maternal employment are driven by women who face relatively higher career costs of children: women in occupations with a steeper age-earnings profile, women who cannot be easily substituted at work and women with medium and high education level. The findings reveal that policies which reconcile family and work life are indeed more beneficial for women facing higher career costs of having children. |
| Keywords: | Child Care,Fertility,Maternal Employment,Career Costs of Children |
| JEL: | J13 J22 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:upadvr:v7719&r=all |
| By: | Gonçalves, Judite; Martins, Pedro S. |
| Abstract: | The growth of self-employment and in particular gig work may explain part of the declining fertility rates observed in many countries. This study examines this question drawing on longitudinal data to compare women’s fertility, proxied by maternity leave uptake, when self-employed or wage workers. It considers the case of Portugal, which allows to focus on structural aspects of work types, as fertility-related social protection there does not discriminate between self-employment and wage work. Results indicate that there are no statistically significant differences in fertility between employees and self-employed women. These findings highlight the importance of social protection for the self-employed, at least as far as their fertility is concerned. |
| Keywords: | fertility,instrumental variables,maternity leave,self-employment |
| JEL: | C26 J13 J24 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:glodps:401&r=all |
| By: | Robson, M.;; Doran, T.;; Cookson, R.; |
| Abstract: | We develop a practical method for estimating and decomposing conditional average treatment effects using locally-weighted regressions. We illustrate with an application to the smoking ban in England using a regression discontinuity design, based on Health Survey for England data. We estimate average treatment effects conditional on socioeconomic status and decompose these effects by smoking location. Results show, the ban had no effect on the level of active smoking, but significantly reduced average exposure to second-hand smoke among non-smokers by 1.38 hours per week. Our method reveals a complex relationship between socioeconomic status and the effect on passive smoking. Decomposition analysis shows that these effects stem primarily from exposure reductions in pubs, but also from workplace exposure reductions for high socioeconomic status individuals. |
| Keywords: | health inequality; equity; conditional average treatment effects; regression discontinuity; heterogeneity; smoking ban; lwcate; |
| JEL: | C14 C21 C87 D63 I14 I38 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:yor:hectdg:19/20&r=all |
| By: | Jonathan Briody (School Of Economics, Geary Institute for Public Policy, University College Dublin); Orla Doyle (School Of Economics, Geary Institute for Public Policy, University College Dublin); Cecily Kelleher (School of Public Health, Physiotherapy and Sports Science, University College Dublin) |
| Abstract: | The relationship between recessions and health is mixed, with some evidence from the most recent financial crisis finding a positive effect on heath behaviours. This study uses longitudinal data spanning the periods before, during and after the Irish crisis of 2008, to test the impact of economic expansion and contraction on mothers physical and mental health and health behaviours. Three waves of data from the Irish Lifeways Cohort Study for the period 2001-2011, and local area employment rates from the Irish Census, are used to capture the impact of the recession on health, independent of individual employment status. The results from fixed effect linear probability models demonstrate that increases in the local unemployment rate are associated with significant increases in the probability of mothers reporting poor self-rated health and poor mental well-being. Yet the association between local area unemployment and health behaviours is mostly positive, with higher unemployment reducing the probability of being obese and tobacco consumption. The relationship with physical activity is more ambiguous. These results are largely consistent with the US literature, which is predominantly based on working men, thus demonstrating the universal impact of recessions on health. |
| Keywords: | Lifestyles; Health; Macroeconomic conditions; Panel data; Unemployment; The Great Recession |
| JEL: | I1 I12 I14 I18 C33 J10 |
| Date: | 2019–08–19 |
| URL: | http://d.repec.org/n?u=RePEc:ucd:wpaper:201912&r=all |
| By: | Margarita Carvalho (NIPE, University of Minho); João Cerejeira (Department of Economics/NIPE, University of Minho) |
| Abstract: | This study explores the link between financialization and employee wages. Using a panel of European banks from Bankscope we test whether banks use leverage strategically in order to refrain wage increases, focusing on the strategic use of banks’ capital structure as a disciplinary mechanism. The results indicate the existence of a negative and significant effect of leverage on average employee wages. In addition, considering that the effects of leverage could depend on individual bank risk, we extend our analysis to distressed banks, using the z-score as a measure to distinguish banks that are more prone to bankruptcy. We also observe that leverage is statistically significant when relating to average wages; however the impact does not differ in magnitude in comparison to non-distressed banks. |
| Keywords: | Panel data models; Instrumental Variables; Banks; Capital Structure; Wages |
| JEL: | C23 C26 G21 G32 J30 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:nip:nipewp:08/2019&r=all |
| By: | Michel Serafinelli (University of Essex); Guido Tabellini (Bocconi University) |
| Abstract: | Creativity is often highly concentrated in time and space, and across different domains. What explains the formation and decay of clusters of creativity? In this paper we match data on thousands of notable individuals born in Europe between the XIth and the XIXth century with historical data on city institutions and population. Our main variable of interest is the number of famous creatives (scaled to local population) born in a city during a century, but we also look at famous immigrants (based on location of death). We first document several stylized facts: famous births and immigrants are spatially concentrated and clustered across disciplines, creative clusters are persistent but less than population, and spatial mobility has remained stable over the centuries. Next, we show that the emergence of city institutions protecting economic and political freedoms and promoting local autonomy facilitates the attraction and production of creative talent. |
| Keywords: | innovation, agglomeration, political institutions, immigration, gravity |
| JEL: | R10 O10 J61 J24 |
| Date: | 2019–09 |
| URL: | http://d.repec.org/n?u=RePEc:crm:wpaper:1909&r=all |