nep-eur New Economics Papers
on Microeconomic European Issues
Issue of 2022‒01‒17
23 papers chosen by
Giuseppe Marotta
Università degli Studi di Modena e Reggio Emilia

  1. The spatial patterns of student mobility before, during, and after the Bologna process in Germany By Philipp Gareis; Tom Broekel;
  2. Time, Income and Subjective Well-Being - 20 Years of Interdependent Multidimensional Polarization in Germany By Merz, Joachim; Scherg, Bettina
  3. The Effects of an Increase in the Retirement Age on Health – Evidence from Administrative Data By Barschkett, Mara; Geyer, Johannes; Haan, Peter; Hammerschmid, Anna
  4. Culture and Collaboration - an Underestimated Power!? The Effect of Regional Culture on the Research Collaboration Propensity in European Regions By Cathrin Söllner
  5. Household bargaining, pension contributions and retirement expectations: Evidence from the German Panel on Household Finances By Fernandes, Inês; Schmidt, Tobias
  6. Distributional Effects of Carbon Pricing by Transport Fuel Taxation By Leif Jacobs; Lara Quack; Mario Mechtel
  7. Older Immigrants – New Poverty Risk in Scandinavian Welfare States? By Gustafsson, Björn Anders; Jakobsen, Vibeke; Mac Innes, Hanna; Pedersen, Peder J.; Österberg, Torun
  8. Intergenerational wealth transmission and mobility in Great Britain: what components of wealth matter? By Paul Gregg; Ricky Kanabar
  9. Dead-end jobs or steppingstones? Precarious work in Albania By Drishti, Elvisa; Carmichael, Fiona
  10. The Effects of Local Demand and Supply Restrictions on Markup By Antonio Acconcia; Elisa Scarinzi
  11. Gender Norms and the Motherhood Employment Gap By Simone MORICONI; Núria RODRIGUEZ-PLANAS
  12. Broadband Internet and Social Capital By Geraci, Andrea; Nardotto, Mattia; Reggiani, Tommaso; Sabatini, Fabio
  13. Non-Base Compensation and the Gender Pay Gap By Boris Hirsch; Philipp Lentge
  14. Taking the Pulse of Nations: A Biometric Measure of Well-being By David G. Blanchflower; Alex Bryson
  15. Home Alone: Widows' Well-Being and Time By Adena, Maja; Hamermesh, Daniel S.; Myck, Michal; Oczkowska, Monika
  16. Changing gender norms across generations: Evidence from a paternity leave reform By Lidia Farré; Cristina Felfe; Libertad González Luna; Patrick Schneider
  17. The effects of financial incentives and disincentives on teachers' retirement decisions: Evidence from the 2003 French pension reform By Denis Fougère; Pierre Gouëdard
  18. To work or not to work? Effects of temporary public employment on future employment and benefits. By Mörk, Eva; Ottosson, Lillit; Vikman, Ulrika
  19. Gender Differences in Early Occupational Choices: Evidence from Medical Specialty Selection By Josep Amer-Mestre and Agnès Charpin
  20. Intimate partner violence and help-seeking: The role of femicide news By Marco Colagrossi; Claudio Deiana; Davide Dragone; Andrea Geraci; Ludovica Giua; Elisa Iori
  21. Understanding the impact of gender and migration on high-ability students’ behavior: Exploring behavioral differences in business, law, and engineering students throughout their academic careers By Lisa Beck-Werz Author-1-Name-First: Lisa Author-1-Name-Last: Beck-Werz; Bernd Frick Author-2-Name-First: Bernd Author-2-Name-Last: Frick; Thomas Fritz Author-3-Name-First: Thomas Author-3-Name-Last: Fritz; Fabian Lensing Author-4-Name-First: Fabian Author-4-Name-Last: Lensing
  22. Cultural Identity and Social Capital in Italy By Bracco, Emanuele; Liberini, Federica; Lockwood, Ben; Porcelli, Francesco; Redoano, Michela; Sgroi, Daniel
  23. Effects of teaching practices on life satisfaction and test scores: evidence from the Program for International Student Assessment (PISA) By Bartolini, Stefano; O’Connor, Kelsey J.

  1. By: Philipp Gareis; Tom Broekel;
    Abstract: The paper contributes to the literature investigating students’ spatial mobility. By focusing on German higher education students with a novel dataset providing data from 1999 to 2015, we evaluate the impact of the change from a one-tiered to the two-tiered study structure of bachelor and master degrees (Bologna reform) on their inter-regional mobility and its underlying drivers. Our analysis confirms the system change to slightly alter inter-regional mobility of students. However, differences distinguish between different fields of study and universities und universities of applied sciences and indicate that the German higher education system is fairly resilient in its allocation of students. A Bologna-Drain of students moving from rural to urban regions to study master programs, can partially be confirmed for students of business studies. Our results reject the idea of (low) tuition fees discouraging students from enrolling in specific locations.
    Keywords: student mobility, Germany, Bologna, higher education
    JEL: I23 I25 R12
    Date: 2022–01
  2. By: Merz, Joachim (Leuphana University Lüneburg); Scherg, Bettina (Leuphana University Lüneburg)
    Abstract: Society drifts apart in many dimensions. Economists focus on income of the poor and rich and the distribution of income but a broader spectrum of dimensions is required to draw the picture of multiple facets of individual life. In our study of multidimensional polarization we extend the income dimension by time, a pre-requisite and fundamental resource of any individual activity. In particular, we consider genuine personal time as a pronounced source of social participation in the sense of social inclusion/exclusion and Amartya Sen's capability approach. With an interdependence approach to multidimensional polarization we allow compensation between time and income, parameters of a CES-type subjective well-being function, where a possible substitution is evaluated empirically by the German population instead of arbitrarily chosen. Beyond subjective well-being indices we propose and apply a new intensity/gap measure to multidimensional polarization, the mean minimum polarization gap 2DGAP. This polarization intensity measure provides transparency with regard to each single attribute, which is important for targeted policies, while at the same time their interdependent relations is respected. The empirical investigation of interdependent multidimensional polarization incidence and intensity uses the German Socio-Economic Panel (GSOEP) and detailed time use diary data from the three German Time Use Surveys (GTUS) 1991/92, 2001/02 and the actual 2012/13. We focus on the working individuals where the working poor requires increasing interest in the economic and social political discussion. The microeconometric two-stage selectivity corrected estimation of interdependent multidimensional risk (incidence) and intensity quantifies socio-economic factors behind. Four striking results appear: First, genuine personal leisure time additional to income is a significant subjective well-being and polarization dimension. Second, its interdependence, its compensation/substitution, evaluated by the German Society, is of economic and statistical significance. Remarkably, besides compensation regimes, there are interdependent multidimensional polarization regimes where even higher income cannot compensate time deficits. Third, interdependent multidimensional polarization incidence (headcount ratio) decreased over those 20 years in Germany, however and in particular, as shown by the new minimum 2DGAP approach, interdependent multidimensional polarization intensity increased over those 20 years in Germany. Fourth, there are different multidimensional polarization results and developments for the poverty and affluence poles and regimes, for fulltime selfemployed, employees and subsequently for further socio-economic groups. And, polarization also appears with respect to social participation.
    Keywords: 2001/02and 2012/13, two-stage Heckman estimates of polarization incidence and intensity, CES well-being function, interdependent multidimensional polarization, extended economic well-being, minimum multidimensional polarization intensity gap (2DGAP), satisfaction/happiness, life satisfaction, subjective well-being, time and income poverty and affluence, social participation, working poor and affluent, middle class, self-employment and employees, German Time Use Surveys 1991/92, German Socio-Economic Panel
    JEL: I32 D31 J22
    Date: 2021–11
  3. By: Barschkett, Mara (DIW Berlin); Geyer, Johannes (DIW Berlin); Haan, Peter (DIW Berlin); Hammerschmid, Anna (DIW Berlin)
    Abstract: This study analyzes the causal effect of an increase in the retirement age on health. We exploit a sizable cohort-specific pension reform for women using two complementary empirical approaches – a Regression Discontinuity Design and a Difference-in-Differences approach. The analysis is based on official records covering all individuals insured by the public health system in Germany and including all certified diagnoses by practitioners. This enables us to gain a detailed understanding of the multi-dimensionality in these health effects. The empirical findings reflect the multi-dimensionality but allow for deriving two broader conclusions. We provide evidence that the increase in the retirement age negatively affects health outcomes as the prevalence of several diagnoses, e.g., mental health, musculoskeletal diseases, and obesity, increases. In contrast, we do not find support for an improvement in health related to a prolonged working life since there is no significant evidence for a reduction in the prevalence of any health outcome we consider. These findings hold for both identification strategies, are robust to sensitivity checks, and do not change when correcting for multiple hypothesis testing.
    Keywords: Germany, retirement, pension reform, health, ICD-10, Regression Discontinuity Design, Difference-in-Differences
    JEL: I10 I12 I18 J14 J18 J26
    Date: 2021–11
  4. By: Cathrin Söllner (CRIE - Centre for Regional and Innovation Economics, University of Bremen)
    Abstract: Collaboration is an important factor for regional economic growth. Still, the literature lacks explanations why some regions collaborate more or less than expected. The present paper proposes regional culture as influencing factor, being region-specific and connected to interactive activities. Estimations are based on a sample of 155,019 collaborative patents from 134 European NUTS-2 regions. Data on regional culture was extracted from the European Values Study. Results reveal that regional culture has a significant effect on the collaboration likelihood. This influence differs due to the various dimensions of regional culture.
    Keywords: collaboration propensity, regional culture, Hofstede, EU-regions, patents
    JEL: F00 O43 R11
    Date: 2022–01–06
  5. By: Fernandes, Inês; Schmidt, Tobias
    Abstract: In this paper, we study the relationship between intrahousehold bargaining styles, bar-gaining power and individual pension contributions and expected standard of living in retirement, using microdata from the German Panel on Household Finances (PHF) survey. The paper builds on a theoretical framework that predicts non-cooperative (cooperative) households to have lower (higher) expected standards of living in retirement, due to the uncertainty regarding intrahousehold resource sharing. The empirical results suggest that household bargaining is significantly correlated with individual retirement-related behaviour and expectations, with gender differences. Cooperative partners expect higher standards of living in retirement, relative to non-cooperative ones, because they may insure againstold-age poverty by pooling and redistributing personal and household resources amongst each other in retirement. Finally, our data indicate that intracouple information sharing and altruism may mediate the relationship between household decision-making and individual contributions to private pension plans, especially in non-cooperative households.
    Keywords: Intrahousehold bargaining,Intrahousehold information sharing,Gender,House-hold finance,Private pension plans,Retirement expectations,Altruism,Panel on HouseholdFinances
    JEL: D12 D14 G51
    Date: 2021
  6. By: Leif Jacobs (Fraunhofer Institute for Applied Information Technology); Lara Quack (Fraunhofer Institute for Applied Information Technology); Mario Mechtel (Leuphana University of Lüneburg, Institute of Economics)
    Abstract: We introduce a new microsimulation model built on household transport data to study the distributional effects of carbon-based fuel taxation of private road transport in Germany. Our data includes annual mileage at the car-level, the distinction between fuel types, as well as car-specific fuel consumption, allowing for a very detailed analysis. The model allows focusing on different types of households as well as identifying effect heterogeneity across the income distribution. We compare the recent fuel tax scheme with three policy reform scenarios to empirically test several hypotheses regarding distributional effects of carbon pricing. We find that the legal status quo of the fuel tax has overall regressive effects, with the tax on petrol acting regressive and the tax on diesel acting progressive. A transformation of the current tax into a revenue-neutral carbon-harmonised fuel tax yields a progressive distributional effect, while an introduction of a new carbon tax on transport fuels is neither learly regressive nor progressive. Combining both tax schemes also has non-regressive effects. Our results suggest that policy makers face various options for pricing road transport greenhouse gas emissions without causing an overall disproportionate tax burden on low-income households.
    Keywords: carbon pricing, fuel tax, distributional effects, road transport, microsimulation, exante impact assessment
    JEL: H22 H23 Q48 Q58 R48
    Date: 2021–12
  7. By: Gustafsson, Björn Anders (University of Gothenburg); Jakobsen, Vibeke (VIVE - The Danish Centre for Applied Social Science); Mac Innes, Hanna (University of Gothenburg); Pedersen, Peder J. (Aarhus University); Österberg, Torun (University of Gothenburg)
    Abstract: Many European high-income countries face a rapid increase in the number of immigrants from low- and middle-income countries reaching the normal pension age. Thus, it is increasingly relevant to ask: how are older migrants from such countries faring? Here we study poverty rates and determinants of poverty among natives and persons born in Bosnia, Iran, Iraq, Yugoslavia and Turkey living in Denmark or Sweden in 2010. Income data on all such persons aged 65 to 82 living in the two destination countries are analysed. In both Denmark and Sweden, we report much higher poverty rates among the immigrants studied than among natives. Estimated probability models show that being poor is related to a person's education, family status and age, as well as year of arrival in the destination country and the labour market and his or her residential status at the age of 55. However, the labour market in the destination country at the time of arrival also matter. Persons born in Yugoslavia or Turkey who had immigrated to Denmark during the '70s and '80s were more likely to be in poverty in 2010 that their counterparts with the same characteristics who had immigrated to Sweden.
    Keywords: Denmark, Sweden, poverty, older immigrants
    JEL: I32 J14 J15 J61
    Date: 2021–11
  8. By: Paul Gregg (University of Bath); Ricky Kanabar (University of Bath)
    Abstract: The rapid widening of intergenerational wealth inequalities has led to sharp differences in living standards in Great Britain. Understanding which components of wealth are driving such inequalities is important for improving wealth and social mobility. Using the Wealth and Assets Survey we show the change in the intergenerational persistence in wealth in Great Britain is driven by inequality in offspring housing wealth. We estimate between 2010/12-2016/18 the intergenerational wealth elasticity in housing increased by 18 percentage points for individuals born to the same parental wealth background but born six years apart, and that offspring homeownership has become increasingly stratified by parental wealth even after controlling for individual's own characteristics. We show by age 35 homeownership levels are three times higher among offspring whose parents are high educated homeowners compared to those whose parents are from a low educated renter background. In terms of housing wealth, by age 35 the former group holds approximately ten-times the level of housing wealth compared to the latter. We show such differences in housing wealth hold across the lifecycle and if maintained imply the intergenerational wealth elasticity in housing wealth is set to double in approximately one century. Taken together, our findings highlight the increasingly important role parental wealth has for determining whether offspring hold and the rate at which they accumulate particular types of wealth, and the implications for intergenerational wealth persistence, wealth mobility and inequality now and in the future.
    Keywords: Wealth, Housing, Inequality, intergenerational mobility, Great Britain.
    JEL: D31 D63 I24
    Date: 2022–01
  9. By: Drishti, Elvisa; Carmichael, Fiona
    Abstract: Purpose: This study asks whether lower quality forms of employment lead to career transitions into higher quality forms of employment acting as steppingstones, or bridges or, whether instead they lead to dead-ends, or traps, in which workers move between unstable jobs with low prospects for upward mobility and unemployment. Design/methodology/approach: This study uses a unique dataset recording retrospective monthly employment states over 3 years for 373 individuals in the Albanian city of Shkoder. The analysis uses sequence and regression analysis to investigate whether people employed in lower quality, more precarious jobs remain in these kinds of jobs or instead are able to transition into higher quality, permanent and füll-time employment. Findings: In line with previous evidence for the region and Europe, the analysis confirms the precarization of many working lives particularly for women, young people and those with lower educational attainment. This evidence is more supportive of the dead-end hypothesis than the idea that a lower quality job can be a steppingstone into a better job. Originality: This study contributes to the limited knowledge of labour market functioning in developing post-socialist Western Balkans countries. Recent flexicurity policies have generated an increased prevalence of more precarious employment arrangements in Albania. This investigation addresses previous research limitations regarding point-in-time transitions and unobserved heterogeneity using retrospective recall data and controlling for personality traits.
    Keywords: precarious work,job quality,Albania,sequence analysis,career transitions
    Date: 2022
  10. By: Antonio Acconcia (Università di Napoli Federico II and CSEF); Elisa Scarinzi (Bank of Italy)
    Abstract: We use firm-level data to investigate the causal response of markup to a contraction in local demand and supply. We find that the effects of the two types of drops are symmetric overall, quantitatively heterogeneous among sectors, and amplified by spillovers. For differentiated manufacturing products, transport and business services, markups change quite a lot: they amplify after a decrease in supply while they shrink in response to a decrease in demand. For horizontally differentiated local services, essentially retail, wholesale, accommodation and food, markups change much less mainly because of the adjustment in the labor cost. We also find that in response to the reallocation of demand resulting from a supply contraction, firms with the lowest markups already increase more the markups while highest markup firms mainly gain in terms of market shares. Our findings have implications for business cycle modeling, suggest more market concentration after a deep recession like the one related to the Covid-19 pandemic and caution against the use of aggregate model to understand its impact.
    Keywords: Demand/Supply Contraction, Markup, Local Competition, Labor Cost, Reallocation Shock.
    JEL: E30 D22 D40
    Date: 2022–01–07
  11. By: Simone MORICONI (IESEG School of Management, Univ. Lille, CNRS, UMR 9221 - LEM - Lille Économie Management, F-59000 Lille, France); Núria RODRIGUEZ-PLANAS (City University of New York, Queens College and The Graduate Center, and Barnard College at Columbia University)
    Abstract: Using individual-level data from the European Social Survey, we study the relevance of gender norms in accounting for the motherhood employment gap across 186 European NUTS2 regions (over 29 countries) for the 2002-2016 period. The gender norm variable is taken from a question on whether “men should have more right to a job than women when jobs are scarce” and represents the average extent of disagreement (on a scale 1 to 5) of women belonging to the “grandmothers” cohort. We address the potential endogeneity of our gender norms measure with an index of the degree of reproductive health liberalization when grandmothers were 20 years old. We also account for the endogeneity of motherhood with the level of reproductive health liberalization when mothers were 20 years old. We find a robust positive association between progressive beliefs among the grandmothers’ cohort and mothers’ likelihood to work while having a small child (0 to 5 years old) relative to similar women without children. No similar association is found among men. Our analysis underscores the role of gender norms and maternal employment, suggesting that non-traditional gender norms mediate on the employment gender gap mainly via motherhood.
    Keywords: : gender norms, motherhood employment gap, instrumenting for motherhood
    JEL: J16 J22
    Date: 2021–12
  12. By: Geraci, Andrea; Nardotto, Mattia; Reggiani, Tommaso (Cardiff Business School); Sabatini, Fabio
    Abstract: We study the impact of broadband penetration on social capital in the UK. Our empirical strategy exploits a technological feature of the telecommunication infrastructure that generated substantial variation in the quality of Internet access across households. The speed of a domestic connection rapidly decays with the distance of a userÕs line from the networkÕs node serving the area. Merging information on the topology of the network with geocoded longitudinal data about individual social capital from 1997 to 2017, we show that access to fast Internet caused a significant decline in civic and political engagement. Overall, our results suggest that broadband penetration crowded out several dimensions of social capital.
    Keywords: ICT, broadband infrastructure, networks, Internet, social capital, civic capital.
    JEL: D91 L82 Z13
    Date: 2021–12
  13. By: Boris Hirsch (Leuphana University of Luneburg, Halle Institute for Economic Research, and IZA Institute of Labor Economics,); Philipp Lentge (Leuphana University of Lüneburg)
    Abstract: This paper investigates whether non-base compensation contributes to the gender pay gap. In wage decompositions, we find that lower bonus payments to women explain about 10% of the gap at the mean and at different quantiles of the unconditional wage distribution whereas the lower prevalence of shift premia and overtime pay among women is unimportant. Among managers, the contribution of bonuses to the mean gap more than doubles and is steadily rising as one moves up the wage distribution. Our findings suggest that gender di_erences in bonuses are an important contributor to the gender pay gap, particularly in top jobs.
    Keywords: gender pay gap, bonus payments, shift premia, overtime pay, glass ceilings
    JEL: J31 J71
    Date: 2021–07
  14. By: David G. Blanchflower (Bruce V. Rauner ’78 Professor of Economics, Dartmouth College, Hanover, NH 03755-3514. Adam Smith School of Business, University of Glasgow and NBER); Alex Bryson (Professor of Quantitative Social Science, UCL Social Research Institute, University College London, 20 Bedford Way, London WC1H 0AL)
    Abstract: A growing literature identifies associations between subjective and biometric indicators of wellbeing. These associations, together with the ability of subjective wellbeing (SWB) metrics to predict health and behavioral outcomes, have spawned increasing interest in SWB as an important concept in its own right. However, some social scientists continue to question the usefulness of SWB metrics. We contribute to this literature in three ways. First, we introduce a biometric measure of wellbeing – pulse – which has been largely overlooked. Using nationally representative data on 165,000 individuals from the Health Survey for England (HSE) and Scottish Health Surveys (SHeS) we show that its correlates are similar in a number of ways to those for SWB, and that it is highly correlated with SWB metrics, as well as self-assessed health. Second, we examine the determinants of pulse rates in mid-life (age 42) among the 9,000 members of the National Child Development Study (NCDS), a birth cohort born in a single week in 1958 in Britain. Third, we track the impact of pulse measured in mid-life (age 42) on health and labor market outcomes at age 50 in 2008 and age 55 in 2013. The probability of working at age 55 is negatively impacted by pulse rate a decade earlier. The pulse rate has an impact over and above chronic pain measured at age 42. General health at 55 is lower the higher the pulse rate at age 42, while those with higher pulse rates at 42 also express lower life satisfaction and more pessimism about the future at age 50. Taken together, these results suggest social scientists can learn a great deal by adding pulse rates to the metrics they use when evaluating people’s wellbeing.
    Keywords: pulse; wellbeing; mental health; general health; life satisfaction; paid work; life-course; birth cohort; NCDS.
    JEL: I10 J1
    Date: 2021–12–01
  15. By: Adena, Maja (WZB - Social Science Research Center Berlin); Hamermesh, Daniel S. (Barnard College); Myck, Michal (Centre for Economic Analysis, CenEA); Oczkowska, Monika (Centre for Economic Analysis, CenEA)
    Abstract: Losing a partner is a life-changing experience. We draw on numerous datasets to examine differences between widowed and partnered older women and to provide a comprehensive picture of well-being in widowhood. Most importantly, our analysis accounts for time use in widowhood, an aspect which has not been studied previously. Based on data from several European countries we trace the evolution of well-being of women who become widowed by comparing them with their matched non-widowed 'statistical twins' and examine the role of an exceptionally broad set of potential moderators of widowhood's impact on well-being. We confirm a dramatic decrease in mental health and life satisfaction after the loss of partner, followed by a slow recovery. An extensive set of controls recorded prior to widowhood, including detailed family ties and social networks, provides little help in explaining the deterioration in well-being. Unique data from time-diaries kept by older women from several European countries and the U.S. tell us why: the key factor behind widows' reduced well-being is increased time spent alone.
    Keywords: widowhood, well-being, social networks, time use
    JEL: I31 I19 J14
    Date: 2021–11
  16. By: Lidia Farré; Cristina Felfe; Libertad González Luna; Patrick Schneider
    Abstract: Direct exposure to counter-stereotypical behaviors early in life has been put forward as a promising way to change gender norms across generations. We ask to which extent public policy designed to promote counter-stereotypical behavior among parents influences gender norms for their children. Specifically, we combine the national-level introduction of paternity leave in Spain with a unique, large-scale lab-in-the-field experiment conducted with children born around the policy change. We provide causal evidence that, at age 12, children whose fathers were eligible for paternity leave exhibit more egalitarian attitudes towards gender roles and are more supportive of mothers and fathers being equally engaged in the labor market and in the home. They also engage more in counter-stereotypical day-to-day behaviors and expect to deviate from the male-breadwinner model in the future.
    Keywords: Gender role attitudes, paternity leave, social norms
    JEL: J08 J13 J16 J18
    Date: 2022–01
  17. By: Denis Fougère (OSC - Observatoire sociologique du changement - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique, LIEPP - Laboratoire interdisciplinaire d'évaluation des politiques publiques [Sciences Po] - Sciences Po - Sciences Po, CEPR - Center for Economic Policy Research - CEPR, IZA - Forschungsinstitut zur Zukunft der Arbeit - Institute of Labor Economics, ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique); Pierre Gouëdard (OECD - Organisation for Economic Co-operation and Development , LIEPP - Laboratoire interdisciplinaire d'évaluation des politiques publiques [Sciences Po] - Sciences Po - Sciences Po)
    Abstract: Using a sample of 12,463 high-school teachers, we evaluate the impact of the 2003 reform of the French national pension scheme. Considering the progressive implementation of the reform, we cannot use a reduced-form approach. Consequently, we estimate an option value modelà la Stock and Wise (Econometrica, 1990). Structural estimates suggest that teachers are slightly risk averse, that their quarterly discount factor is close to unity and that their preference for leisure is comparable to the one found by Stock and Wise (1990). Simulations imply that teachers respond significantly to monetary incentives offered to those who continue working after the legal retirement age. Our partial effectiveness analysis shows that the reform has progressively increased the average retirement age up to 61. This shift in the retirement age distribution should have resulted in year 2010 in a 6.37% decrease of public spendings associated with high-school teachers' pensions (except income taxes and other types of expenses, such as those relating to health, social security and widowhood).
    Keywords: option value model,pension reform,structural evaluation
    Date: 2021–10
  18. By: Mörk, Eva (Department of Economics, Uppsala University); Ottosson, Lillit (IFAU - Institute for Evaluation of Labour Market and Education Policy); Vikman, Ulrika (IFAU - Institute for Evaluation of Labour Market and Education Policy)
    Abstract: We evaluate a temporary public sector employment program targeted at individuals with weak labor market attachment in the City of Stockholm. Having access to rich high-quality individuallevel administrative data, we apply dynamic inverse probability weighting, proposed by Van den Berg and Vikström (2021), to deal with dynamic selection into the program. We find that the program is successful in increasing employment and reducing social assistance. However, being at a regular workplace seems crucial: we find negative employment effects for participants engaged in outdoor cleaning at a workplace created especially for the program. In addition, we find that the decrease in social assistance recipiency to some extent is countered by an increase in the share receiving unemployment insurance benefits. This tendency is especially pronounced for the program with negative employment effects.
    Keywords: Public sector employment programs; Social assistance; Cost-shifting; Dynamic inverse probability weighting
    JEL: H75 I38 J45
    Date: 2021–09–17
  19. By: Josep Amer-Mestre and Agnès Charpin
    Abstract: Empirical evidence shows that men and women hold different types of occupations. It is however difficult to disentangle the channels via which these differences come about because observed equilibrium outcomes arise from preferences of agents on both sides of the market, and from search and matching frictions. This paper relies on a unique labour market setting allowing to isolate the supply side factors driving gender-based occupational segregation. We find that female and male medical students facing the same pool of available positions make drastically different occupational decisions. Women prefer occupations characterised by lower expected earnings and time requirements, less competition, and a higher social contribution. Using individual data containing both revealed and stated preferences for residency positions, we find evidence suggesting that when constrained in their choices, women have a stronger preference for the location in which they are going to live than their male counterparts.
    Keywords: Occupational segregation, Gender, Labour market, Job attributes
    Date: 2022
  20. By: Marco Colagrossi; Claudio Deiana; Davide Dragone; Andrea Geraci; Ludovica Giua; Elisa Iori
    Abstract: Exploiting high-frequency data from the Italian anti-violence helpline and a unique geolocalized dataset on killings of women, we show that the news coverage of a femicide triggers an increase in calls to the helpline. The effect is detectable in the week following the news and in the province where the femicide has occurred. These findings are consistent with a model in which the news of a femicide increase expectations about future intimate partner violence in case no call is made.
    JEL: I18 I38 J12
    Date: 2022–01
  21. By: Lisa Beck-Werz Author-1-Name-First: Lisa Author-1-Name-Last: Beck-Werz (University of Paderborn); Bernd Frick Author-2-Name-First: Bernd Author-2-Name-Last: Frick (University of Paderborn); Thomas Fritz Author-3-Name-First: Thomas Author-3-Name-Last: Fritz (FH Aachen University of Applied Sciences); Fabian Lensing Author-4-Name-First: Fabian Author-4-Name-Last: Lensing (University of Paderborn)
    Abstract: Using a large sample with detailed information on 32,296 high-ability business, law, and engineering students, we explore gender- and migration-related differences in behaviour to better understand the persistent under-representation of women and migrants in the executive suites of German companies. Since in this homogenous group of ‘high-achievers‘, students are quite similar in their intellectual abilities, observable differences in behaviour can be mainly attributed to differences in gender- and migration-related preference patterns. We find that irrespective of migration background, men are more likely to pursue activities that increase their human capital, such as completing a doctorate, while women tend to engage in lower-level temporary jobs and complete their studies faster. In contrast, in this selective sample of high-ability students, migration background has a marginal effect on students’ behaviour only. Perhaps most surprising, we find that the behaviour of women with a migration background – who potentially face ‘double discrimination‘ – is not different from that of their male peers.
    Keywords: High-ability students; higher education, gender gap; migration; education; intersectionality
    JEL: I23 Z13
    Date: 2022–01
  22. By: Bracco, Emanuele (Universita di Verona); Liberini, Federica (University of Bath); Lockwood, Ben (University of Warwick); Porcelli, Francesco (ESRC CAGE Centre & Universita di Bari); Redoano, Michela (University of Warwick); Sgroi, Daniel (University of Warwick, IZA & ESRC CAGE Centre)
    Abstract: Italy became one nation only relatively recently and as such there remains significant regional variation in trust in government and society (so-called “social capital”) as well as in language and diet. In an experiment conducted across three Italian cities we exploit variation in family background generated through internal migration and make use of novel measures of social capital, language and diet to develop a new index of cultural heritage. Our new index predicts social capital, while self-reported identity does not. The missing link between the past and current identity seems to come through grandparents (especially maternal grandmothers) who have a strong role in developing the cultural identity of their grandchildren.
    Date: 2021
  23. By: Bartolini, Stefano; O’Connor, Kelsey J.
    Abstract: Schools are ripe for policy intervention. We demonstrate that implementing different teaching practices is effective, finding a greater prevalence of group discussion used in schools positively affects students’ life satisfaction and noncognitive skills but has no impact on test scores. The benefits do not apply to girls, however, unless they attend all-girl schools. These findings are based on a sample from the 2015 PISA which includes more than 35 thousand students from approximately 1500 schools in 14 countries or regions. We perform regressions of student life satisfaction on the prevalence of group discussion and lecturing used in their school, including a battery of individual, teacher, and school controls, as well as random intercepts by school. For robustness we use instrumental variables and methods to account for school-selection. The average impact of group discussion is not small – a one standard deviation leads to an increase in life satisfaction that is about one-half of the negative association with grade repetition. On the other hand, more or less lecturing does not affect life satisfaction, noncognitive skills, nor test scores. We conclude that teaching practices – group discussion – can be used to improve student life satisfaction, thereby likely positively affecting future economic outcomes and well-being.
    Keywords: subjective well-being,teaching,teaching practices,non-cognitive skills,education,PISA,participatory teaching,vertical teaching,horizontal teaching
    JEL: I21 I31 J24
    Date: 2022

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