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on Labour Economics |
| By: | Michele Di Maio (University of Naples Parthenope); Roberto Nisticò (Università di Napoli Federico II and CSEF) |
| Abstract: | We investigate the effect of parental job loss on child school dropout using data from the Palestinian Labour Force Survey. To identify the effect, we exploit conflict-induced job separations of Palestinian workers employed in Israel during the Second Intifada. Our results show that parental job loss increases child's school dropout probability by 9 percentage points. The effect varies with the gender, grade, and academic ability of the child, with parental education and the number of children in the household. The effect appears to be driven by a drop in household income. We do not find evidence of alternative mechanisms such as parental divorce or relocation. |
| Keywords: | Job loss, school dropout, conict, Occupied Palestinian Territories, Israel |
| JEL: | H56 I20 J63 |
| Date: | 2016–10–23 |
| URL: | http://d.repec.org/n?u=RePEc:sef:csefwp:456&r=lab |
| By: | Suyoun Han; Morris M. Kleiner |
| Abstract: | We analyze the labor market influence of the duration of occupational licensing statutes for 12 major universally licensed occupations over a 73 year period. These occupations comprise the vast majority of workers in these regulated occupations in the United States. Time from the start of state occupational licensing statutes (i.e., licensing duration) may matter in influencing labor market outcomes. Adding to or raising the entry barriers is likely easier once an occupation is established and has gained influence in a political jurisdiction. States often enact grandfather clauses and ratchet up requirements that protect existing workers and increase entry costs to new entrants. We provide among the first estimates of potential economic rents to grandfathering. We find that duration years of occupational licensing are positively associated with wages for continuing and grandfathered workers. The estimates show a positive relationship of duration with hours worked, but we find moderately negative results for participation in the labor market. The universally licensed occupations, however, exhibit heterogeneity in outcomes. Consequently, unlike some other labor market public policies, such as minimum wages or direct unemployment insurance benefits, occupational licensing would likely influence labor market outcomes when measured over a longer period of time. |
| JEL: | J08 J3 J38 J44 J8 J88 K0 K2 L12 L38 L51 L84 L88 |
| Date: | 2016–11 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:22810&r=lab |
| By: | Shaimaa Yassin (University of Neuchatel (Institute of Economic Research)) |
| Abstract: | To be able to redress retrospective panels into random samples and correct for any recall and/or design bias the data might suffer from, this paper builds on the methodology proposed by Langot and Yassin (2015) and extends it to correct the data on the individual transaction level (i.e. micro level). It creates user-friendly weights that can be readily used by researchers relying on retrospective panels extracted from the Egypt and Jordan Labor Market Panel Surveys(ELMPS and JLMPS respectively). The technique suggested shows that it is sufficient to have population moments - stocks and/or transitions (for at least one point in time) to correct overor under-reporting biases in the retrospective data. The paper proposes two types of microdata weights: (1) naive proportional weights and (2) differentiated predicted weights. Both transaction-level weights i.e. for each transition at a certain point in time, as well as panel weights i.e. for an entire job or non-employment spell, are built. In order to highlight the importance of these weights, the paper also offers an application using these weights. The determinants of labor market transitions in Egypt and Jordan are analyzed via a multinomial regression analysis with and without the weights. The impact of these weights on the regressions estimations and coefficients is therefore examined and shown significant among the different types of labor market transitions, especially separations. |
| Keywords: | Panel Data, Retrospective Data, Measurement Error, Micro-data weights, Labor Markets Transitions, Egypt, Jordan. |
| JEL: | C83 C81 J01 J62 J64 |
| Date: | 2016–11 |
| URL: | http://d.repec.org/n?u=RePEc:irn:wpaper:16-07&r=lab |
| By: | Pia Orrenius and Madeline Zavodny |
| Keywords: | Unauthorized Immigrants, Illegal Immigration, Temporary Foreign Workers |
| JEL: | J15 J18 J61 |
| Date: | 2016–09 |
| URL: | http://d.repec.org/n?u=RePEc:cgd:wpaper:436&r=lab |
| By: | Cherrie Bucknor |
| Abstract: | There are about 24 million Hispanic workers in the United States. They come from a variety of backgrounds and face unique challenges in the U.S. labor market. Focusing on trends in the overall Hispanic community can conceal notable differences among Hispanics of different ethnic subgroups. This paper presents data on the Hispanic workforce, highlighting the similarities and differences among Hispanics of different ethnic subgroups. The first section focuses on the diversity of the Hispanic workforce, examining differences based on gender, educational attainment, and citizenship. The second section provides data on several challenges that Hispanics currently face in the labor market, including unemployment, low wages, poverty, language barriers, and low access to health and retirement benefits. The last section shows the impact that union representation has in these areas. |
| JEL: | I I2 I24 J J1 J15 J11 |
| Date: | 2016–11 |
| URL: | http://d.repec.org/n?u=RePEc:epo:papers:2016-19&r=lab |
| By: | Claudia Olivetti; Dana E. Rotz |
| Abstract: | We study associations among women’s current marital status, past marital history, and later-life labor force participation. Our results suggest when a woman unexpectedly divorces later in life, she might have to work longer to increase her assets prior to retirement. |
| Keywords: | divorce, marriage, retirement, women’s employment |
| JEL: | J I |
| URL: | http://d.repec.org/n?u=RePEc:mpr:mprres:6e67e3ca61724bb3a9b99d52a5765a03&r=lab |
| By: | Egger, Hartmut; Kreickemeier, Udo; Moser, Christoph; Wrona, Jens |
| Abstract: | We set up a general equilibrium model, in which offshoring to a low-wage country can lead to job polarisation in the high-wage country. Job polarisation is the result of a reallocation of labour across firms that differ in productivity and pay wages that are positively linked to their profits by a rent-sharing mechanism. Offshoring involves fixed and task-specific variable costs, and as a consequence it is chosen only by the most productive firms, and only for those tasks with the lowest variable offshoring costs. A reduction in those variable costs increases offshoring at the intensive and at the extensive margin, with domestic employment shifted from the newly offshoring firms in the middle of the productivity distribution to firms at the tails of this distribution, paying either very low or very high wages. We also study how the reallocation of labour across firms affects economy-wide unemployment. Offshoring reduces unemployment when it is confined to high-productivity firms, while this outcome is not guaranteed when offshoring is also chosen by low-productivity firms. |
| Keywords: | Offshoring,Job Polarisation,Heterogeneous Firms,Unemployment |
| JEL: | F12 F16 F23 |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:dicedp:234&r=lab |
| By: | Bender, Stefan; Dorner, Matthias; Harhoff, Dietmar; Hinz, Tina; Hoisl, Karin |
| Abstract: | We study the impact of social ties on the migration of inventors from East to West Germany, using the fall of the Iron Curtain and German reunification as a natural experiment. We identify East German inventors via their patenting track records prior to 1990 and their social security records in the German labor market after reunification. Modeling inventor migration to West German regions after 1990, we find that Western regions with stronger historically determined social ties across the former East-West border attracted more inventors after the fall of the Iron Curtain than regions without such ties. However, mobility decisions made by inventors with outstanding patenting track records (star inventors) were not impacted by social ties. We conclude that social ties support labor market access for migrant inventors and determine regional choices while dependence on these ties is substantially reduced for star performers. |
| Keywords: | East Germany; inventors; migration; networks; social ties; transition |
| JEL: | J60 O30 P20 R23 |
| Date: | 2016–11 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:11601&r=lab |
| By: | Aristotelis Boukouras |
| Abstract: | I develop a simple static general equilibrium model with capitalist-spirit preferences and prices set by firm owners (entrepreneurs). The model’s pure symmetric Nash equilibria differ markedly from the canonical model: (i) A positive output gap and unemployment may emerge in equilibrium, despite the absence of price rigidities or information asymmetries. (ii) Income and wealth inequality affect equilibrium prices and employment. (iii) The model generates ambiguous comparative statics. Specifically, an increase in inequality of either type may reduce employment and increase the output gap of the economy, while productivity reductions may have the opposite effect. As a result, minimum wage policies may increase employment. These results provide some justification for a number of arguments used in public debates. |
| Keywords: | capitalist spirit, general equilibrium, income distribution, income inequality, minimum wage, output gap, unemployment, wealth distribution, wealth inequality |
| JEL: | D31 D63 E24 E25 |
| URL: | http://d.repec.org/n?u=RePEc:lec:leecon:16/16&r=lab |
| By: | Philipp Ager (Department of Business and Economics, University of Southern Denmark); Casper Worm Hansen (Department of Economics, University of Copenhagen) |
| Abstract: | The introduction of immigration quotas in the 1920s fundamentally changed US migration policy. We exploit this policy change to estimate the effect of immigration on local economic growth and industry development. Our analysis demonstrates that areas with larger pre-existing communities of immigrants of nationalities restricted by the quota system experienced larger population declines in the subsequent decades as the quotas reduced the supply of immigrants to these areas. We then show that the quotas led to negative agglomeration effects in the manufacturing sector, while productivity losses are only visible in urban counties, cities, and immigrant dependent industries. We also ?find that the quota system pushed native workers into low-wage occupations. |
| Keywords: | Immigration restrictions, National quota acts, Economic growth |
| JEL: | J11 J61 N12 O11 O47 |
| Date: | 2016–11–08 |
| URL: | http://d.repec.org/n?u=RePEc:kud:kuiedp:1611&r=lab |
| By: | Bruno Rodrigues; Vincent Vergnat |
| Abstract: | Using French administrative data, we estimate the impact of the birth of a first, second and third child on hourly wages, as well as for hours worked, for both women and men. We compute the impact on these out- come variables, two, four and six years after the birth of the child, and focus on the distinction between highly educated women and women with a high school degree or less. We also take the maternity leave (or pa- ternity leave in case of men) duration into account. Estimation is done with difference-in-differences and we compute bootstrapped confidence intervals. Results show both lower and highly educated women decrease significantly their working hours after the birth of their child. Men are, for the most part, not much impacted by the birth of their children. Ma- ternity leave duration influences the magnitude of the impact of the birth, especially on the hourly wages of educated women. |
| Keywords: | Fertility decisions, Labour Supply, Difference in Differences, Family pay gap. |
| JEL: | D10 J13 |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ulp:sbbeta:2016-48&r=lab |