nep-lab New Economics Papers
on Labour Economics
Issue of 2021‒08‒16
24 papers chosen by
Joseph Marchand
University of Alberta

  1. The Long-Lived Cyclicality of the Labor Force Participation Rate By Tomaz Cajner; John M. Coglianese; Joshua Montes
  2. How Collective Bargaining Shapes Poverty: New Evidence for Developed Countries By Kevin Pineda-Hernández; François Rycx; Mélanie Volral
  3. What Happens When Employers Can No Longer Discriminate in Job Ads? By Peter J. Kuhn; Kailing Shen
  4. Labor Market Competition and the Assimilation of Immigrants By Christoph Albert; Albrecht Glitz; Joan Llull
  5. Earnings Shocks and Stabilization During COVID-19 By Jeff Larrimore; Jacob Mortenson; David Splinter
  6. On the Right Track? – The Role of Work Experience in Migrant Mothers’ Current Employment Probability By Christina Boll; Andreas Lagemann
  7. Local Shocks and Internal Migration: The Disparate Effects of Robots and Chinese Imports in the US By Marius Faber
  8. Search and Reallocation in the COVID-19 Pandemic: Evidence from the UK By Carrillo-Tudela, Carlos; Comunello, Camila; Clymo, Alex; Jäckle, Annette; Visschers, Ludo; Zentler-Munro, David
  9. Social Mobility in Germany By Majed Dodin; Sebastian Findeisen; Lukas Henkel; Dominik Sachs; Paul Schüle
  10. Dropping Out, Being Pushed Out or Can’t Get in? Decoding Declining Labour Force Participation of Indian Women By Deshpande, Ashwini; Singh, Jitendra
  11. Multigenerational Mobility in India By Kundu, Anustup; Sen, Kunal
  12. Immigration and the Short- and Long-Term Impact of Improved Prenatal Conditions By Lavy, Victor; Schlosser, Analia; Shany, Adi
  13. Culture, Children and Couple Gender Inequality By Jonas Jessen
  14. The laws of attraction: Economic drivers of inter-regional migration, housing costs and the role of policies By Orsetta Causa; Michael Abendschein; Maria Chiara Cavalleri
  15. The Effects of the COVID-19 Pandemic on the Mental Health and Subjective Well-Being of Workers: An Event Study Based on High-Frequency Panel Data By Schmidtke, Julia; Hetschko, Clemens; Schöb, Ronnie; Stephan, Gesine; Eid, Michael; Lawes, Mario
  16. Mothers at Work: How Mandating Paid Maternity Leave Affects Employment, Earnings and Fertility By Girsberger, Esther Mirjam; Hassani Nezhad, Lena; Karunanethy, Kalaivani; Lalive, Rafael
  17. The Lasting Effects of Early Childhood Education on Promoting the Skills and Social Mobility of Disadvantaged African Americans By García, Jorge Luis; Heckman, James J.; Ronda, Victor
  18. Low-Skilled Jobs, Language Proficiency and Refugee Integration: An Experimental Study By Ek, Simon; Hammarstedt, Mats; Skedinger, Per
  19. The Gendered Effects of Climate Change: Production Shocks and Labor Response in Agriculture By Afridi, Farzana; Mahajan, Kanika; Sangwan, Nikita
  20. Health, Retirement and Economic Shocks By Martinez-Jimenez, Mario; Hollingsworth, Bruce; Zucchelli, Eugenio
  21. You Can’t Handle The Truth: The Effects Of The Post-9/11 Gi Bill On Higher Education And Earnings By Andrew Barr; Laura Kawano; Bruce Sacerdote; William Skimmyhorn; Michael Stevens
  22. What explains the urban wage premium? Sorting, non-portable or portable agglomeration effects? By Frings, Hanna; Kamb, Rebecca
  23. Pension Wealth and the Gender Wealth Gap By Karla Cordova; Markus M. Grabka; Eva Sierminska
  24. Non-compliance with temporary agency work regulations: Initial evidence from Germany By Ganserer, Angelika

  1. By: Tomaz Cajner; John M. Coglianese; Joshua Montes
    Abstract: How cyclical is the U.S. labor force participation rate (LFPR)? We examine its response to exogenous state-level business cycle shocks, finding that the LFPR is highly cyclical, but with a significantly longer-lived response than the unemployment rate. The LFPR declines after a negative shock for about four years—well beyond when the unemployment rate has begun to recover—and takes about eight years to fully recover after the shock. The decline and recovery of the LFPR is largely driven by individuals with home and family responsibilities, as well as by younger individuals spending time in school. Our main specifications measure cyclicality from the response of the age-adjusted LFPR, and we show that it is problematic to use the unadjusted LFPR when estimating cyclicality because local shocks spur changes in the population of high-LFPR age groups through migration. LFPR cyclicality varies across groups, with larger and longer-lived responses among men, younger workers, less-educated workers, and Black workers.
    Keywords: Labor force participation; Labor supply; Labor force composition; Labor force demographics; Full employment; Okun’s law; Geographic mobility; Labor mobility; Regional migration
    JEL: E24 J21 J22 J61 J64
    Date: 2021–07–30
    URL: http://d.repec.org/n?u=RePEc:fip:fedgfe:2021-47&r=
  2. By: Kevin Pineda-Hernández (Université libre de Bruxelles, SBS-EM (CEBRIG & DULBEA) Université de Mons (humanOrg)); François Rycx (Université libre de Bruxelles, SBS-EM (CEBRIG & DULBEA) GLO, humanOrg, IRES, IZA); Mélanie Volral (Université de Mons (humanOrg) DULBEA)
    Abstract: Although many studies point to the significant influence of collective bargaining institutions on earnings inequalities, evidence on how these institutions shape poverty rates across developed economies remains surprisingly scarce. It would be a mistake, though, to believe that the relationship between earnings inequalities and poverty is straightforward. Indeed, whereas earnings inequalities are measured at the individual level, poverty is calculated at the household level using equivalised (disposable) incomes. Accordingly, in most developed countries poverty is not primarily an issue of the working poor. This paper explicitly addresses the relationship between collective bargaining systems and working-age poverty rates in 24 developed countries over the period 1990-2015. Using an up-to-date and fine-grained taxonomy of bargaining systems and relying on state-of-the-art panel data estimation techniques, we find that countries with more centralised and/or coordinated bargaining systems display significantly lower working-age poverty rates than countries with largely or fully decentralized systems. However, this result only holds in a post-tax benefit scenario. Controlling for countryfixed effects and endogeneity, our estimates indeed suggest that the poverty-reducing effect of collective bargaining institutions stems from the political strength of trade unions in promoting public social spending rather than from any direct effect on earnings inequalities.
    Keywords: Collective bargaining systems, poverty rates, social security expenditures, panel data, advanced economies
    JEL: C23 C26 I32 I38 J51 J52
    Date: 2021–07–08
    URL: http://d.repec.org/n?u=RePEc:ctl:louvir:2021019&r=
  3. By: Peter J. Kuhn; Kailing Shen
    Abstract: When employers’ explicit gender requests were unexpectedly removed from a Chinese job board overnight, pools of successful applicants became more integrated: women’s (men’s) share of call-backs to jobs that had requested men (women) rose by 63 (146) percent. The removal ‘worked’ in this sense because it generated a large increase in gender-mismatched applications, and because those applications were treated surprisingly well by employers. The removal had little or no effect on aggregate matching frictions. The job titles that were integrated however, were not the most gendered ones, and were disproportionately lower-wage jobs.
    JEL: J16 J63 J71
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:29116&r=
  4. By: Christoph Albert (Christoph Albert); Albrecht Glitz (Albrecht Glitz); Joan Llull (Joan Llull)
    Abstract: In this paper, we show that the wage assimilation of immigrants is the result of the intricate interplay between individual skill accumulation and dynamic equilibrium effects in the labor market. When immigrants and natives are imperfect substitutes, increasing immigrant inflows widen the wage gap between them. Using a simple production function framework, we show that this labor market competition channel can explain about one quarter of the large increase in the average immigrant-native wage gap in the United States between the 1960s and 1990s arrival cohorts. Once competition effects and compositional changes in education and region of origin are accounted for, we find that the unobservable skills of newly arriving immigrants increased over time rather than decreased as traditionally argued in the literature. We corroborate this finding by documenting closely matching patterns for immigrants’ English language proficiency.
    Keywords: Immigrant Assimilation, Labor Market Competition, CohortSizes, Imperfect Substitution, General and Specific Skills
    JEL: J21 J22 J31 J61
    Date: 2021–08
    URL: http://d.repec.org/n?u=RePEc:crm:wpaper:2125&r=
  5. By: Jeff Larrimore; Jacob Mortenson; David Splinter
    Abstract: This paper documents the magnitude and distribution of U.S. earnings changes during the COVID-19 pandemic and how fiscal relief offset lost earnings. We build panels from administrative tax data to measure annual earnings changes. The frequency of earnings declines during the pandemic were similar to the Great Recession, but the distribution was very different. In 2020, workers starting in the bottom half of the distribution were more likely to experience large annual earnings declines and a similar share of male and female workers had large earnings declines. While most workers experiencing large annual earnings declines do not receive unemployment insurance, over half of beneficiaries were made whole in 2020, as unemployment insurance replaced a median of 103 percent of their annual earnings declines. After incorporating unemployment insurance, the likelihood of large earnings declines among low-earning workers was not only smaller than during the Great Recession, but also smaller than in 2019.
    Keywords: COVID-19; Wage earnings; Stimulus checks; Unemployment insurance; Countercyclical policy
    JEL: D31 E24 H53 J30 J65
    Date: 2021–08–02
    URL: http://d.repec.org/n?u=RePEc:fip:fedgfe:2021-52&r=
  6. By: Christina Boll; Andreas Lagemann
    Abstract: This paper investigates the role of work experience in migrant mothers’ current employment in Germany. Unlike previous papers, we focus on actual experience and add the motherhood aspect. To this end, we use data from the German Socio-Economic Panel 2013-2018 including the IAB-SOEP Migration Sample. Having immigrated to Germany and female sex are the two treatments of our sample of 491 migrant mothers, with 7,077 native mothers and 1,383 migrant fathers serving as control groups. Running LPM with individual FE and testing the robustness of the work experience estimators against a range of covariates and unobserved time-varying confounders with Oster bounds, we show that years of domestic part-time experience yield higher returns for migrant mothers compared to migrant fathers and non-migrant mothers. We conclude that current employment is significantly fueled by former employment; thus policies should be designed such that they help women to “get on the right track”.
    Keywords: migrant employment, maternal employment, LPM with individual FE, Oster test, actual work experience
    JEL: J61 J16 J24
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:diw:diwsop:diw_sp1140&r=
  7. By: Marius Faber
    Abstract: Migration has long been considered one of the key mechanisms through which labor markets adjust to economic shocks. In this paper, we analyze the migration response of American workers to two of the most important shocks that hit US manufacturing since the late 1990s – Chinese import competition and the introduction of industrial robots. Exploiting plausibly exogenous variation in exposure across US local labor markets over time, we show that robots caused a sizable reduction in population size, while Chinese imports did not. We rationalize these results in two steps. First, we provide evidence that negative employment spillovers outside manufacturing, caused by robots but not by Chinese imports, are an important mechanism for the different migration responses triggered by the two shocks. Next, we present a model where workers are geographically mobile and compete with either machines or foreign labor in the completion of tasks. The model highlights that two key dimensions along which the shocks differ – the cost savings they provide and the degree of complementarity between directly and indirectly exposed industries – can explain their disparate employment effects outside manufacturing and, in turn, the differential migration response.
    Keywords: Migration, employment, technology, trade.
    JEL: J21 J23 J61
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:crm:wpaper:2124&r=
  8. By: Carrillo-Tudela, Carlos (University of Essex); Comunello, Camila (University of Essex); Clymo, Alex (University of Essex); Jäckle, Annette (University of Essex); Visschers, Ludo (University of Edinburgh); Zentler-Munro, David (University of Essex)
    Abstract: The impact of the Covid-19 pandemic on the UK labour market has been extremely heterogeneous, with strong variation both by occupation and industrial sector. The extent to which workers adjust their job search behaviour in response to this reallocation of employment has an important bearing on the future course of the labour market. At an aggregate level we see evidence consistent with search responding to changes to the state of the economy. In particular, changes to job search by employees are closely linked to changes in vacancies, and we also see ows from unemployment to inactivity peak at the same time as vacancies bottom-out. A key novelty in this paper is that we can additionally see whether the link between job search and changing employment patterns holds at a micro level, using the COVID supplement of the UK Household Longitudinal Survey, which shows the industries and occupations targeted by job searchers. The vast majority of job searchers target growing occupations and industries, which suggests job searchers are responding to conditions at a micro as well as macro level. This is also suggested by the fact that job searchers who were in occupations that expanded in the pandemic seek to switch occupations less frequently than those in shrinking occupations.
    Keywords: job search, sectoral mobility, COVID-19
    JEL: E24 J23 J63
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14582&r=
  9. By: Majed Dodin; Sebastian Findeisen; Lukas Henkel; Dominik Sachs; Paul Schüle
    Abstract: We characterize intergenerational mobility in Germany using census data on educational attainment and parental income for 526,000 children. Our measure of educational attainment is the A-Level degree, a requirement for access to university. A 10 percentile increase in the parental income rank is associated with a 5.2 percentage point increase in the A-Level share. This parental income gradient has not changed for the birth cohorts of 1980-1996, despite a large-scale policy of expanding upper secondary education. At the regional level, there exists substantial variation in mobility estimates. Place effects, rather than sorting of households, account for most of these differences.
    Keywords: intergenerational mobility, educational attainment, local labor markets
    JEL: I24 J62 R23
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:ces:ceswps:_9200&r=
  10. By: Deshpande, Ashwini (Ashoka University); Singh, Jitendra (Ashoka University)
    Abstract: The stubbornly low and declining level of labor force participation rate (LFPR) of Indian women has prompted a great deal of attention with a focus on factors constraining women's labour supply. Using 12 rounds of a high frequency household panel survey, we demonstrate volatility in Indian women's labour market engagement, as they exit and (re)enter the labor force multiple times over short period for reasons unrelated to marriage, child-birth, or change in household income. We demonstrate how these frequent transitions exacerbate the issue of measurement of female LFPR. Women elsewhere in the world face a "motherhood penalty" in the form of adverse labour market outcomes after the first childbirth. We evaluate the motherhood penalty in the Indian context and find that mothers with new children have a lower base level of LFPR, but there is no sharp decline around the time of childbirth. Blinder-Oaxaca decomposition of determinants of female LFPR suggests that none of the total fall (10 percentage points) in our study period is explained by a change in supply-side demographic characteristics. We suggest that frequent transitions, as well as fall in LFPR, are consistent with the demand-side constraints, viz., that women's participation is falling due unavailability of steady gainful employment. The high unemployment rate and industry-wise composition of total employment provide suggestive evidence that women's participation is falling as women are likely to be displaced from employment by male workers. We show that women's employment is likely to suffer more than men's due to negative economic shocks, as was seen during the fallout of demonetisation of 86 percent of Indian currency in 2016. Our analysis contests the prominent narrative that women are voluntarily dropping out of the labor force due to an increase in household income and conservative social norms. Our results suggest that India needs to focus more on creating jobs for women to retain them in the labor force.
    Keywords: female labour force participation rate, employment, social norms, India, labour demand
    JEL: J23 J71 J16 O53
    Date: 2021–08
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14639&r=
  11. By: Kundu, Anustup (University of Helsinki); Sen, Kunal (University of Manchester)
    Abstract: Most studies of intergenerational mobility focus on adjacent generations, and there is limited knowledge about multigenerational mobility that is, status transmission across three generations. We examine multigenerational educational and occupational mobility in India, using a nationally representative data-set the India Human Development Survey which contains information about education and occupation for three generations. We find that mobility has increased over generations for education, but not for occupation. We also find that there are stark differences across social groups, with individuals belonging to socially disadvantaged communities in India lagging behind in social progress. Multigenerational mobility for Muslims in education and occupation have decreased in comparison to Hindus over the three generations. While we find that there is an increase in educational mobility for other disadvantaged groups such as Scheduled Castes, Scheduled Tribes, and Other Backward Classes compared to General Castes, we do not find evidence of increased occupational mobility over the three generations.
    Keywords: multigenerational mobility, occupational mobility, educational mobility, India
    JEL: J62 J15 O12
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14566&r=
  12. By: Lavy, Victor (Hebrew University, Jerusalem); Schlosser, Analia (Tel Aviv University); Shany, Adi (Tel Aviv University)
    Abstract: This paper investigates the effects of immigration from a developing country to a developed country during pregnancy on offspring's outcomes. We focus on intermediate and long-term outcomes, using quasi-experimental variation created by the immigration of Ethiopian Jews to Israel in May 1991. Individuals conceived before immigration experienced dramatic changes in their environmental conditions at different stages of prenatal development depending on their gestational age at migration. We find that females whose mothers immigrated at an earlier gestational age have lower grade repetition and dropout rates in high school. They also show better cognitive performance during primary and middle school and in the high school matriculation study program. As adults, they have higher post-secondary schooling, employment rates, and earnings than those whose mothers migrated at a later stage of pregnancy.
    Keywords: prenatal, immigration, human capital
    JEL: I24 I25 I15 J15
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14576&r=
  13. By: Jonas Jessen
    Abstract: This paper examines how culture impacts within-couple gender inequality. Exploiting the setting of Germany's division and reunification, I compare child penalties of couples socialised in a more gender-egalitarian culture (East Germany) to those in a gender-traditional culture (West Germany). Using a household panel, I show that the long-run child penalty on the female income share is 26.9 percentage points in West German couples, compared to 15.5 in East German couples. I additionally show that among women in West Germany the arrival of a child leads to a greater increase in housework and a larger share of child care responsibilities than among women in the East. A battery of robustness checks confirms that differences between East and West socialised couples are not driven by current location, economic factors, day care availability or other smooth regional gradients. I add to the main findings by using time-use diary data from the German Democratic Republic (GDR) and reunified Germany, comparing parents with childless couples of similar age. This provides a rare insight into gender inequality in the GDR and allows to compare the effect of children in the GDR to the effects in East and West Germany after reunification. Lastly, I show that attitudes towards maternal employment are more egalitarian among East Germans, but that the arrival of children leads to more traditional attitudes for both East and West Germans. The findings confirm that socialisation has a strong impact on child penalties and thus on gender inequality as a whole.
    Keywords: cultural norms, gender inequality, child penalty
    JEL: J16 J22 D1
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:diw:diwwpp:dp1957&r=
  14. By: Orsetta Causa; Michael Abendschein; Maria Chiara Cavalleri
    Abstract: This paper sheds light on inter-regional migration, housing and the role of policies, drawing on a new comparative cross-country approach. The results show that OECD countries exhibit stark variation in both levels and trends in inter-regional migration, which is found to be highly responsive to local housing and economic conditions. In turn, a large number of policies in the area of housing, labour markets, social protection and product markets influence the responsiveness of inter-regional migration to local economic conditions. For instance, more flexible housing supply makes inter-regional migration more responsive to local economic conditions while higher regulatory barriers to business start-ups and entry in professions significantly reduce the responsiveness of inter-regional mobility to local economic conditions. The capacity of workers to move regions in response to local economic shocks is one key dimension of labour market dynamism which could, at the current juncture, contribute to the recovery from the COVID-19 crisis. In this context, the paper proposes articulating structural with place-based policies to help prospective movers as well as stayers.
    Keywords: housing markets, Internal migration, labour markets, place-based policies, regional disparities, regional economic conditions, regional house prices, regional mobility, social protection, structural policies
    JEL: R23 R12 R50 R58 J61 H20
    Date: 2021–08–13
    URL: http://d.repec.org/n?u=RePEc:oec:ecoaaa:1679-en&r=
  15. By: Schmidtke, Julia (Institute for Employment Research (IAB), Nuremberg); Hetschko, Clemens (University of Leeds); Schöb, Ronnie (Free University of Berlin); Stephan, Gesine (Institute for Employment Research (IAB), Nuremberg); Eid, Michael (Freie Universität Berlin); Lawes, Mario (Freie Universität Berlin)
    Abstract: Using individual monthly panel data from December 2018 to December 2020, we estimate the impact of the Covid-19 pandemic and two lockdowns on the mental health and subjective well-being of German workers. Employing an event-study design using individual-specific fixed effects, we find that the first and the second wave of the pandemic reduced workers' mental health substantially. Momentary happiness and life satisfaction also decline in response to Covid-19, but to a smaller extent. We observe adapation in our study outcomes between waves of the pandemic. This applies to a lesser extent to indicators of well-being in certain areas of life, such as satisfaction with the job and with leisure, which are negatively affected, too. Women do not seem to suffer greater well-being losses than men. However, workers in the German short-time work scheme are particularly negatively affected. Our results imply that increased anxiety about the future and restricted personal freedoms are among the drivers of the well-being impact of the pandemic.
    Keywords: Covid-19, life satisfaction, depression, affective well-being, app-based survey data, German Job Search Panel
    JEL: I31 I19
    Date: 2021–08
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14638&r=
  16. By: Girsberger, Esther Mirjam (University of Technology, Sydney); Hassani Nezhad, Lena (Royal Holloway, University of London); Karunanethy, Kalaivani (University of Lausanne); Lalive, Rafael (University of Lausanne)
    Abstract: In July 2005, Switzerland introduced the first federal paid maternity leave mandate, offering 14 weeks of leave with 80% of pre-birth earnings. We study the mandate's impact on women's employment and earnings around the birth of their first child, as well as on their subsequent fertility by exploiting unique, rich administrative data in a difference-in-differences set-up. Women covered by the mandate worked and earned more during pregnancy, and also had temporarily increased job continuity with their pre-birth employer after birth. Estimated effects on other labor market outcomes are small or absent, and all dissipate by five years after birth. The mandate instead persistently increased subsequent fertility: affected women were three percentage points more likely to have a second child in the next nine years. Women living in regions that had greater early child care availability experienced a larger increase in subsequent fertility following the mandate, suggesting that child care complements paid maternity leave in helping women balance work and family.
    Keywords: female labor supply, maternity leave, return-to-work, earnings, fertility
    JEL: J1 J2
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14605&r=
  17. By: García, Jorge Luis (Clemson University); Heckman, James J. (University of Chicago); Ronda, Victor (Aarhus University)
    Abstract: This paper demonstrates multiple beneficial impacts of a program promoting inter-generational mobility for disadvantaged African-American children and their children. The program improves outcomes of the first-generation treatment group across the life cycle, which translates into better family environments for the second generation leading to positive intergenerational gains. There are long-lasting beneficial program effects on cognition through age 54, contradicting claims of fadeout that have dominated popular discussions of early childhood programs. Children of the first-generation treatment group have higher levels of education and employment, lower levels of criminal activity, and better health than children of the first-generation control group.
    Keywords: early childhood education, intergenerational mobility, racial inequality, social mobility
    JEL: J13 I28 C93 H43
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14575&r=
  18. By: Ek, Simon (Department of Economics, Uppsala University, and); Hammarstedt, Mats (Department of Economics and Statistics, Linnaeus University, and); Skedinger, Per (Research Institute of Industrial Economics (IFN))
    Abstract: We study the causal effects of previous experience and language skills when newly arrived refugees in Sweden apply for job openings by means of a field experiment. Applications were sent from randomly assigned fictitious Syrian refugees with experience in jobs with low skill requirements and completed language training in Swedish to employers advertising low-skilled job vacancies. We find no evidence of sizeable effects from previous experience or completed language classes on the probability of receiving callback from employers. However, female applicants were more likely than males to receive a positive response. We conclude that previous experience and completed language training seem to provide at best a small positive signaling value when refugees apply for low-skilled jobs through formal channels.
    Keywords: Integration of immigrants; Language skills; Job mobility
    JEL: J15 J24 J61
    Date: 2021–08–11
    URL: http://d.repec.org/n?u=RePEc:hhs:iuiwop:1398&r=
  19. By: Afridi, Farzana (Indian Statistical Institute); Mahajan, Kanika (Ashoka University); Sangwan, Nikita (Indian Statistical Institute)
    Abstract: Climate change has increased rainfall uncertainty, leading to greater production risks in agriculture. We examine the gender-differentiated labor impacts of droughts resulting from lower precipitation using unique individual-level panel data for agricultural households in India over half a decade. Accounting for unobserved heterogeneity in individual responses, we find that women's workdays fall by 11% more than men's when a drought occurs, driven by former's lack of diversification to the non-farm sector. Women are less likely to work outside their village and migrate relative to men in response to droughts, and are consequently unable to cope fully with the adverse agricultural productivity shock. Our findings can be explained by social costs emanating from gender norms that constrain women's access to non-farm work opportunities. The results highlight the gendered impact of climate change, potentially exacerbating extant gender gaps in the labor market.
    Keywords: climate, drought, agriculture, labor, gender
    JEL: Q54 J16 J43 J60
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14568&r=
  20. By: Martinez-Jimenez, Mario (Lancaster University); Hollingsworth, Bruce (Lancaster University); Zucchelli, Eugenio (Universidad Autónoma de Madrid)
    Abstract: We explore the effects of retirement on both physical and mental ill-health and whether these change in the presence of economic shocks. We employ inverse probability weighting regression adjustment to examine the mechanisms influencing the relationship between retirement and health and a difference-in-differences approach combined with matching to investigate whether the health effects of retirement are affected by the Great Recession. We estimate these models on data drawn from the English Longitudinal Study of Ageing (ELSA) and find that retirement leads to a deterioration in both mental and physical health, however there seems to be considerable effect heterogeneity by gender and occupational status. Our findings also suggest that retiring shortly after the Great Recession appears to improve mental and physical health, although only among individuals working in the most affected regions. Overall, our results indicate that the health effects of retirement might be influenced by the presence of economic shocks.
    Keywords: retirement, health, Great Recession, ELSA
    JEL: J14 J26 I10
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp14574&r=
  21. By: Andrew Barr; Laura Kawano; Bruce Sacerdote; William Skimmyhorn; Michael Stevens
    Abstract: The Post 9/11 GI Bill (PGIB) is among the largest and most generous college subsidies enacted thus far in the U.S. We examine the impact of the PGIB on veterans’ college-going, degree completion, federal education tax benefit utilization, and long run earnings. Among veterans potentially induced to enroll, the introduction of the PGIB raised college enrollment by 0.17 years and B.A. completion by 1.2 percentage points (on a base of 9 percent). But, the PGIB reduced average annual earnings nine years after separation from the Army by $900 (on a base of $32,000). Years enrolled effects are larger and earnings effects more negative for veterans with lower AFQT scores and those who were less occupationally skilled. Under a variety of conservative assumptions, veterans are unlikely to recoup these reduced earnings during their working careers. All veterans who were already enrolled in college at the time of bill passage increase their months of schooling, but only for those in public institutions did this translate into increases in bachelor’s degree attainment and longer-run earnings. For specific groups of students, large subsidies can modestly help degree completion but harm long run earnings due to lost labor market experience.
    JEL: I26 J0 J01 J24 J38
    Date: 2021–07
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:29024&r=
  22. By: Frings, Hanna; Kamb, Rebecca
    Abstract: Using administrative data for West Germany, we study the relative importance of different determinants of the urban wage premium. More explicitly, we distinguish worker sorting, as well as portable and non-portable agglomeration effects. Our results indicate that worker sorting explains about two thirds of the urban-rural wage gap. We show that the estimated fraction of the urban wage premium attributed to worker sorting differs considerably depending on the selectivity of the sample used for identification and provide guidance how this selectivity can be reduced. Agglomeration effects explain about one third of the urban wage premium, with portable and non-portable agglomeration effects being of similar importance.
    Keywords: Urban wage premium,sorting,agglomeration
    JEL: R23 J31 J60
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:zbw:rwirep:916&r=
  23. By: Karla Cordova; Markus M. Grabka; Eva Sierminska
    Abstract: We examine the gender wealth gap with a focus on pension wealth and statutory pension rights. By taking into account employment characteristics of women and men, we are able and identify the extent to which the redistributive effect of pension rights reduces the gap. The empirical basis of this examination is the Socio-Economic Panel (SOEP), which is one of the few datasets where information on wealth as well as on pension entitlements is collected at the individual level. Pension wealth data is available for 2012 only. Individual level wealth data allows to analyze the gender wealth gap between women and men across all households. Due to the longitudinal character of the underlying data, detailed information on employment trajectories and family related events (such as childbirth, marriage, divorce, widowhood, etc.), which can have an effect on (public) pension entitlements are considered.
    Keywords: Gender Wealth Gap, pension entitlements, Germany, redistribution, SOEP
    JEL: H55 D31 J16
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:diw:diwsop:diw_sp1141&r=
  24. By: Ganserer, Angelika
    Abstract: Temporary agency work and outsourcing to a service contractor are two forms of alternative work arrangements with rather complex legal aspects which firms use for external staffing. The regulatory complexity of temporary agency work can lead to intended or unintended non-compliance when firms outsource to a service contractor. In this paper, I provide first evidence for non-compliance with temporary agency work regulations when firms contract out on the basis of a unique new firm survey. By exploiting a choice experiment, I demonstrate that firms do understand the regulatory baseline of temporary agency work, although detailed knowledge often seems to be missing. Non-compliance with regulations therefore often results from ignorance of the legal grayzone.
    Keywords: temporary agency work,contracting out,compliance,choice experiment
    JEL: K31 J41 J83 M55
    Date: 2021
    URL: http://d.repec.org/n?u=RePEc:zbw:zewdip:21057&r=

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