nep-hrm New Economics Papers
on Human Capital and Human Resource Management
Issue of 2011‒06‒04
five papers chosen by
Tommaso Reggiani
Universita' di Bologna

  1. Embodied human capital unemployment By Kumaraku, Klajdi; Naqvi, Nadeem; Rexhepi, Sara
  2. Efficiency of skill training for acquiring sector-specific skills with search frictions By Keisuke Kawata
  3. Performance-related pay and gender wage differences By Mari Kangasniemi; Antti Kauhanen
  4. Teams or Tournaments? A Field Experiment on Cooperation and Competition in Academic Achievement By M. Bigoni; M. Fort; M. Nardotto; T. Reggiani
  5. Job satisfaction in Italy: individual characteristics and social relations By Fiorillo, Damiano; Nappo, Nunzia

  1. By: Kumaraku, Klajdi; Naqvi, Nadeem; Rexhepi, Sara
    Abstract: Adam Smith (1776) devoted the first three chapters to the division of labor in his Inquiry into the Nature and Causes of the Wealth of Nations. This process, carried far enough, eventually results in a divergence between the distributions of supplies and demands of such horizontally-differentiated distinct types of human capital embodied in different persons, leading to the emergence of Embodied Human Capital Unemployment. We illustrate the relevance of this new concept of unemployment to the U.S economy in the first decade of the 21st Century. This helps achieve a deeper understanding of the current global economic crisis, and inter alia to identification of potentially effective, and potentially ineffective, public policies. (111 words).
    Keywords: Unemployment; Human Capital; International Trade; Economic Crisis; China; India; U.S.A.; International Capital Mobility
    JEL: F16 E24 F02 F21
    Date: 2011–04–16
  2. By: Keisuke Kawata (Graduate School of Economics, Osaka University)
    Abstract: This paper develops a simple search model in which sector-specific trainings are endogenously determined with or without a negotiation between a worker and an employer, and characterizes the allocation of two types of training. If a worker and an employer can negotiate over the amount of skill training, the training hours to acquire a skill specific to this employer's sector may be longer or shorter in the decentralized allocation than in the socially efficient allocation. Meanwhile, if they cannot negotiate, the training hours are definitely longer in the decentralized allocation than in the socially efficient allocation.
    Keywords: Excess entry; sector-specific skills, job search, wage bargaining
    JEL: J24 J64
    Date: 2011–05
  3. By: Mari Kangasniemi; Antti Kauhanen
    Abstract: We study the impact of performance-related pay (PRP) on gender wage differences using Finnish linked employer-employee panel data. Controlling for unobserved person and firm effects, we find that bonuses increase women’s earnings slightly less than men’s, but the economic significance of the difference is negligible. Piece rates and reward rates, however, tend to increase gender wage differentials. Thus, the nature of a performance related pay plan is important for gauging the impact of PRP on gender wage differentials. A comparison with OLS results shows the importance of controlling for unobserved person and firm effects.
    Keywords: gender wage differences, performance-related pay, person and firm effects, panel data
    JEL: J16 J33 M52
    Date: 2011–04–21
  4. By: M. Bigoni; M. Fort; M. Nardotto; T. Reggiani
    Abstract: This paper assesses the effect of two stylized and antithetic non-monetary incentive schemes on students’ effort. We collect data from a field experiment where incentives are exogenously imposed, performance is monitored and individual characteristics are observed. Students are randomly assigned to a tournament scheme that fosters competition between coupled students, a cooperative scheme that promotes information sharing and collaboration between students and a control treatment in which students can neither compete, nor cooperate. In line with theoretical predictions, we find that competition induces higher effort with respect to cooperation and cooperation does not increase effort with respect to the baseline. However, this is true only for men, while women do not seem to react to non-monetary incentives.
    JEL: A22 C93 I20
    Date: 2011–05
  5. By: Fiorillo, Damiano; Nappo, Nunzia
    Abstract: This paper investigates the determinants of job satisfaction in Italy with particular emphasis on social relations. Our econometric analysis is based on four waves (1993, 1995, 1998 and 2000) of the Multipurpose Household Survey conducted annually by the Italian Central Statistics Office. The results of ordered probit regressions and robustness tests show that volunteering and meetings with friends are significantly and positively correlated with job satisfaction, with religious participation playing the biggest role. Our findings also show that meetings with friends increase job satisfaction through self-perceived health.
    Keywords: Job satisfaction; social relations; social capital; health; statistical matching; Italy
    JEL: J28 C31 Z13
    Date: 2011–05–26

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