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on Labour Economics |
| By: | Bratsberg, Bernt (Ragnar Frisch Centre for Economic Research); Raaum, Oddbjørn (Ragnar Frisch Centre for Economic Research); Røed, Knut (Ragnar Frisch Centre for Economic Research) |
| Abstract: | While integration policies typically focus on labor market entry, we present evidence showing that immigrants from low‐income countries tend to have more precarious jobs, and face more severe consequences of job loss, than natives. For immigrant workers in the Norwegian private sector, the probability of job loss in the near future is twice that of native workers. Using corporate bankruptcy for identification, we find that the adverse effects of job loss on future employment and earnings are more than twice as large for immigrant employees. |
| Keywords: | migration, job loss, firm closure, unemployment |
| JEL: | F22 H55 J24 J65 |
| Date: | 2016–02 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp9729&r=lab |
| By: | Piera Bello; Vincenzo Galasso |
| Abstract: | Do elderly workers retire early voluntarily, or are they induced (or even forced) by their employees? To establish the relevance of the labor demand component in retirement decisions, we consider a trade liberalization between Switzerland and the EU – the Mutual Recognition Agreement (MRA). A vast literature suggests that these trade liberalizations induce firms to relocate and to restructure, with large compositional effects on the labor market particularly for the elderly workers, who face higher mobility costs. Using Swiss Labor Force Survey data, we use a difference in differences approach to compareearly retirement behavior in three periods (pre-liberalization, announcement, and implementation) for three groups of industries. MRA industries represent our treatment group; control groups are non-MRA manufacturing industries, and services. Our empirical results show that elderly workers are more likely to retire early in the MRA sector during the announcement period, and that the employment of young (30-years old) male workers increases. The distribution of wages by age is instead unaffected. Additional empirical evidence using Swiss Business Census and UN Comtrade data suggests that the increase in early retirement in MRA is not explained by more firms’ exits, nor by more early retirement among the exiting firms. It is rather the surviving MRA firms, which react to the increase in competition by adjusting their labor force and use more early retirement. |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:igi:igierp:569&r=lab |
| By: | Fujita, Shigeru (Federal Reserve Bank of Philadelphia); Nakajima, Makoto (Federal Reserve Bank of Philadelphia) |
| Abstract: | This paper studies quantitative properties of a multiple-worker firm search/matching model and investigates how worker transition rates and job flow rates are interrelated. We show that allowing for job-to-job transitions in the model is essential to simultaneously account for the cyclical features of worker transition rates and job flow rates. Important to this result are the distinctions between the job creation rate and the hiring rate and between the job destruction rate and the layoff rate. In the model without job-to-job transitions, these distinctions essentially disappear, thus making it impossible to simultaneously replicate the cyclical features of both labor market flows. |
| Keywords: | Job flows; Worker flows; Multiple-worker firm; and Search and matching |
| JEL: | E24 E32 J63 J64 |
| Date: | 2016–02–05 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedpwp:16-3&r=lab |
| By: | Akay, Alpaslan (University of Gothenburg); Constant, Amelie F. (Temple University); Giulietti, Corrado (University of Southampton); Guzi, Martin (Masaryk University) |
| Abstract: | This paper investigates how ethnic diversity, measured by the immigrants' countries of origin, influences the well-being of the host country. Using panel data from Germany for the period 1998 to 2012, we find a positive effect of ethnic diversity on the well-being of German citizens. To corroborate the robustness of our results, we estimate several alternative specifications and investigate possible causality issues, including non-random selection of natives and immigrants into regions. Finally, we explore productivity and social capital as potential mechanisms behind our finding. |
| Keywords: | ethnic diversity, subjective well-being, assimilation, multiculturality |
| JEL: | C90 D63 J61 |
| Date: | 2016–02 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp9726&r=lab |
| By: | Pilar García Gómez; Sergi Jiménez-Martín; Judit Vall-Castello |
| Abstract: | In a world with limited PAYGO financing possibilities this paper explores whether older Spanish individuals have the health capacity to work longer. For that purpose we use Milligan-Wise and Cutler-Meara Cutler-Meara-Richards-Shubik simulation methods. Our results suggest that Spanish workers have significant additional capacities to extend their working careers. |
| Keywords: | work capacity, Retirement, Health |
| JEL: | J11 J26 I12 I18 |
| Date: | 2016–02 |
| URL: | http://d.repec.org/n?u=RePEc:bge:wpaper:876&r=lab |