nep-lab New Economics Papers
on Labour Economics
Issue of 2023‒04‒17
fifteen papers chosen by
Joseph Marchand
University of Alberta

  1. The Long-Term Impact of Paid Parental Leave on Maternal Health and Subjective Well-Being By Katharina Heisig
  2. The Well-Being of Cities: Estimating Migration Attractiveness from Internal Migration across Korean Cities By Seung Hoon Lee; Hyoung Chul Kim; Ji Sub Park
  3. A poisoned gift? The hireability signals of an income-support program for the senior unemployed* By Axana Dalle; Philippe Sterkens; Stijn Baert
  4. Board of Directors’ Networks, Gender, and Firm Performance in a Male-Dominated Industry: Evidence from U.S. Banking By Owen, Ann; Temesvary, Judit; Wei, Andrew
  5. Labor Markets during War Time: Evidence from Online Job Ads By Tho Pham; Oleksandr Talavera; Zhuangchen Wu
  6. Gender Segregation: Analysis across Sectoral-Dominance in the UK Labour Market By Riccardo Leoncini; Mariele Macaluso; Annalivia Polselli
  7. The Characteristics and Geographic Distribution of Robot Hubs in U.S. Manufacturing Establishments By Erik Brynjolfsson; Cathy Buffington; Nathan Goldschlag; J. Frank Li; Javier Miranda; Robert Seamans
  8. Feminization, ageing and occupational change in Europe in the last 25 years By MARISCAL-DE-GANTE Álvaro; PALENCIA ESTEBAN Amaia; GRUBANOV-BOSKOVIC Sara; FERNANDEZ MACIAS Enrique
  9. Using Restricted-Access ACS Data to Examine Economic and Noneconomic Factors of Interstate Migration By Race and Ethnicity By Bryanna Duca; Anita Alves Pena
  10. The Impact of AI on the Workplace: Evidence from OECD Case Studies of AI Implementation By Anna Milanez
  11. The effect of overeducation on unemployment in OECD countries By McGrath, Connor
  12. Fortunate Families? The Effects of Wealth on Marriage and Fertility By David Cesarini; Erik Lindqvist; Robert Östling; Anastasia Terskaya
  13. Unequal care provision: evidence from the Share-Corona Survey By Elena Bassoli; Agar Brugiavini
  14. Evaluating the relationship between income, survival and loss of autonomy among older Canadians By Marie Connolly; Akakpo Domefa Konou; Marie-Louise Leroux
  15. Attracting and Retaining Highly Effective Educators in Hard-to-Staff Schools By Andrew J. Morgan; Minh Nguyen; Eric A. Hanushek; Ben Ost; Steven G. Rivkin

  1. By: Katharina Heisig
    Abstract: This paper studies the long-term impact of a paid parental leave reform in former East Germany in 1986 on maternal physical and mental health and subjective well-being. The reform extended paid leave for first-time mothers by six months to a maximum of twelve months. I use representative survey data from the German Socio-Economic Panel and a difference-in-differences design in a quasi-experimental setting. Results show that the effects of the reform were negligible on maternal long-term physical and mental health and subjective well-being. There is weak, but not robust, evidence for increased satisfaction with household activities, income, and work.
    Keywords: social policy, parental leave, mental health, physical health, subjective well-being
    JEL: I12 J13 J16
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:ces:ceswps:_10308&r=lab
  2. By: Seung Hoon Lee (Yonsei University); Hyoung Chul Kim (Yonsei University); Ji Sub Park (Bank of Korea)
    Abstract: We estimate the migration attractiveness of Korean cities by adopting the methodology proposed by Lee et al. (2021) for internal migration setup. Using bilateral migration data across cities, we measure the overall attractiveness of all Korean cities at the ‘sigun-gu’ level. Our approach has two advantages over traditional methods of measuring a city’s attractiveness. First, it is cost-effective as it uses existing administrative data, unlike subjective surveys that require significant resources. Second, our approach provides a more better assessment of a city’s viability than its population growth rate by considering the costs associated with moving between cities and the origin and destination of each migration. Our results confirm the ongoing regional imbalance, commonly known as “Seoul centralization, ” and indicate that the migration attractiveness of rural areas such as Jeollanam-do and Gyeongsangbuk-do is even worse than what is revealed by population growth rates.
    Keywords: internal migration, welfare estimates, regional imbalance, Korea
    JEL: R23 J61 D63 I31 F22
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:yon:wpaper:2023rwp-213&r=lab
  3. By: Axana Dalle; Philippe Sterkens; Stijn Baert (-)
    Abstract: Many OECD countries invest heavily in labour-market programsto prolong careers. Although active labourmarket programs designed for this purpose have frequently been evaluated, less is known about the employment impact of more passive regimes that make labour-market participation later in life feasible. This study focuses on the latter by investigating the hiring opportunities of senior job candidates who partake in a system that ensures older labour-market participants a company supplement in addition to unemployment benefits when they are dismissed. Therefore, we conduct a state-of-the-art scenario experiment in which 360 genuine recruiters evaluate fictitious job candidates who have spent varying durations unemployed in regimes with and without the company supplement. Because they evaluate candidates with respect to both hireability and productivity perceptions, we can identify the mechanisms at play. Overall, we find no evidence of employer-side stigma hindering the re-employment of older unemployed in the program. On the contrary, the longer-term unemployed even benefit – in terms of hiring chances – from partaking in this regime because it seemingly mitigates the regular stigmatisation of long-term unemployment, especially for men. More concretely, recruiters judge the long-term unemployed more mildly, especially with respect to perceived flexibility, when they receive the company supplement and still apply.
    Keywords: Hiring discrimination; Signalling effect; Income support; Labour market program; Vignettes
    JEL: J71 J32 J14
    Date: 2023–04
    URL: http://d.repec.org/n?u=RePEc:rug:rugwps:23/1066&r=lab
  4. By: Owen, Ann; Temesvary, Judit; Wei, Andrew
    Abstract: Leadership roles in banking remain dominated by men; only about one in six bank board members is female. Connections among board members can improve firm performance, but women on boards are much less connected than men. In this paper, we study how gender relates to the role of connections: how do connected female versus male board members affect banks’ performance? Using IV techniques to account for the endogeneity of connections, we find that (1) better connected female (but not male) board members improve bank profitability and reduce earnings management; (2) connections of women on important board committees also improve performance – especially when the share of women on the board is relatively high (above the median).
    Keywords: bank boards; professional networks; gender diversity; instrumental variables
    JEL: G21 G34 J16
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:116811&r=lab
  5. By: Tho Pham (University of York); Oleksandr Talavera (University of Birmingham); Zhuangchen Wu (University of Birmingham)
    Abstract: This study examines the short- and medium-term impacts of the ongoing Russia-Ukraine war on the labor market for Ukrainian workers. Using a unique dataset of 5.4 million online job ads for Ukrainian job seekers in Poland and Ukraine over the 2021-2022 period, we show a short-term surge in demand for Ukrainians to work in Poland while the number of jobs in Ukraine is relatively stable. Since February 2022, the demand for soft and analytical skills in Ukraine has increased, while the demand for such skills in Poland has remained the same. Moreover, there is variation in labor demand depending on skills level and occupational gender segregation. Further analysis suggests a persistent shift (to the left) in wage distribution driven by both the decline of wages within job titles and the change in job composition.
    Keywords: labor demand, forced migration, stayers, wage, Ukraine-Russia war, online vacancies
    JEL: J20 J30 J61 N30
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:bir:birmec:23-03&r=lab
  6. By: Riccardo Leoncini; Mariele Macaluso; Annalivia Polselli
    Abstract: Although the degree of gender segregation in the UK has decreased over time, women's participation in traditionally "female-dominated" sectors is disproportionately high. This paper aims to evaluate how changing patterns of sectoral gender segregation affected women's employment contracts and wages in the UK between 2005 and 2020. We then study wage differentials in gender-specific dominated sectors. We found that the differences in wages and contractual opportunities result mainly from the propensity of women to be distributed differently across sectors. Hence, the disproportion of women in female-dominated sectors implies contractual features and lower wages typical of that sector, on average, for all workers. This difference is primarily explained by persistent discriminatory constraints, while human capital-related characteristics play a minor role. However, wage differentials would shrink if workers had the same potential wages as men in male-dominated sectors. Moreover, this does not happen at the top of the wage distribution, where wage differentials among women in female-dominated sectors are always more pronounced than men.
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:arx:papers:2303.04539&r=lab
  7. By: Erik Brynjolfsson; Cathy Buffington; Nathan Goldschlag; J. Frank Li; Javier Miranda; Robert Seamans
    Abstract: We use data from the Annual Survey of Manufactures to study the characteristics and geography of investments in robots across U.S. manufacturing establishments. We find that robotics adoption and robot intensity (the number of robots per employee) is much more strongly related to establishment size than age. We find that establishments that report having robotics have higher capital expenditures, including higher information technology (IT) capital expenditures. Also, establishments are more likely to have robotics if other establishments in the same Core-Based Statistical Area (CBSA) and industry also report having robotics. The distribution of robots is highly skewed across establishments’ locations. Some locations, which we call Robot Hubs, have far more robots than one would expect even after accounting for industry and manufacturing employment. We characterize these Robot Hubs along several industry, demographic, and institutional dimensions. The presence of robot integrators and higher levels of union membership are positively correlated with being a Robot Hub.
    JEL: L64 O34 O36 O4
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:31062&r=lab
  8. By: MARISCAL-DE-GANTE Álvaro; PALENCIA ESTEBAN Amaia (European Commission - JRC); GRUBANOV-BOSKOVIC Sara; FERNANDEZ MACIAS Enrique (European Commission - JRC)
    Abstract: This paper presents new evidence on the interaction between demographic and occupational change in Europe over the last 25 years. We use data from the European Union Labour Force Survey covering six European countries to make the results representative of the different EU institutional families. The analysis is based on a cross-sectional comparison between the population and employment distributions in 1995 and 2019. This strategy allows us to study the changing demographic dynamics, which have brought a more feminised, aged and educated working population, in a context of structural employment change, where higher job polarisation or occupational upgrading are the main patterns. The results indicate that the increasing female participation has been accompanied by job polarisation, driven especially by the expansion of low-paid jobs among women. Although educational upgrading was particularly relevant for females, a multinomial logistic regression shows that occupational returns to education have declined more for women than men. Finally, despite the fact that the share of young (old) workers has decreased (increased), the occupational profile has changed similarly for both groups and the gender-based differences remain regardless of their age.
    Keywords: demographic change, labour markets, European Union, gender gap
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:ipt:laedte:202304&r=lab
  9. By: Bryanna Duca; Anita Alves Pena
    Abstract: We explore how determinants of internal migration differ between Black non-Hispanics, White non-Hispanics, and Hispanics using micro-level, restricted-use American Community Survey (ACS) data matched to data on attributes of sub-geographies down to the county level. This paper extends the discussion of internal migration in the U.S. by not only observing relationships between economic and noneconomic factors and household-level propensities to migrate, but also how these relationships differ across race and ethnicity within smaller geographies than have been explored in previous literature. We show that when controlling for household and location characteristics, minorities have a lower propensity to migrate than White households and document nuances in the responsiveness of internal migration to individual and locational attributes by racial and ethnic population subgroups.
    Keywords: migration, race and ethnicity, restricted ACS data
    JEL: J15 R23 C5
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:cen:wpaper:23-12&r=lab
  10. By: Anna Milanez
    Abstract: How artificial intelligence (AI) will impact workplaces is a central question for the future of work, with potentially significant implications for jobs, productivity, and worker well-being. Yet, knowledge gaps remain in terms of how firms, workers, and worker representatives are adapting. This study addresses these gaps through a qualitative approach. It is based on nearly 100 case studies of the impacts of AI technologies on workplaces in the manufacturing and finance sectors of eight OECD countries. The study shows that, to date, job reorganisation appears more prevalent than job displacement, with automation prompting the reorientation of jobs towards tasks in which humans have a comparative advantage. Job quality improvements associated with AI – reductions in tedium, greater worker engagement, and improved physical safety – may be its strongest endorsement from a worker perspective. The study also highlights challenges – skill requirements and reports of increased work intensity – underscoring the need for policies to ensure that AI technologies benefit everyone.
    JEL: J2 J3 J5 J6
    Date: 2023–03–27
    URL: http://d.repec.org/n?u=RePEc:oec:elsaab:289-en&r=lab
  11. By: McGrath, Connor (Monash University)
    Abstract: The optimal allocation of human resources into different areas of the economy is vital for the growth and productivity of countries, particularly in a rapidly changing workforce environment. Previous literature and statistics indicate that overeducation (when an individual is overqualified for their career) lengthens unemployment at the individual level after graduation, among other negative outcomes. This study aimed to assess whether increasing the proportion of higher degree graduates affected the unemployment rate of countries in the subsequent year, using a differences in differences model. The study used graduation data from 2013-2018 in 23 countries. The results suggest that having more bachelor’s and master’s degree graduates increases the next year’s unemployment rate in countries with higher relative levels of overeducation, while increasing graduates from other degree types did not have this effect. This study was severely limited by a small sample size, but the results suggest further research on this issue is warranted.
    Keywords: Educational Attainment ; Returns to Education ; Unemployment JEL classifications: I21 ; I26 ; J6
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:wrk:wrkesp:55&r=lab
  12. By: David Cesarini; Erik Lindqvist; Robert Östling; Anastasia Terskaya
    Abstract: We estimate the effects of large, positive wealth shocks on marriage and fertility in a sample of Swedish lottery players. For male winners, wealth increases marriage formation and reduces divorce risk, suggesting wealth increases men’s attractiveness as prospective and current partners. Wealth also increases male fertility. The only discernible effect on female winners is that wealth increases their short-run (but not long-run) divorce risk. Our results for divorce are consistent with a model where the wealthier spouse retains most of his/her wealth in divorce. In support of this assumption, we show divorce settlements in Sweden often favor the richer spouse.
    JEL: D01 J12 J13
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:31039&r=lab
  13. By: Elena Bassoli (Paris School of Economics); Agar Brugiavini (Department of Economics, University Of Venice CÃ Foscari; Institute for Fiscal Studies)
    Abstract: This paper brings new evidence on the differences in informal care provision across individuals, supporting the hypothesis that women and the “young old†people are more likely to be caregivers. We exploit exogenous changes in the demand for care following the COVID-19 outbreak and make use of variations in lockdown policies across Europe. We use the SHARE Corona survey, which involves about 50000 respondents of age 50 and over in 28 countries and has detailed information on the provision of care, characteristics of the caregiver and of the care recipient. We link the SHARE Corona Survey data with an individual specific “stringency index†, which measures the intensity of the lockdown policies and the degree of individual’s exposure to these restrictions. We propose a new methodology to measure the degree of rationing of care that older people experienced during the pandemic (and after) and find that women and people in the age group 50-65 were indeed more likely to provide help/care, and also document the multi-facet interaction with the labour market status of caregivers.
    Keywords: informal care, care provision, caregiver, gender, women, COVID-19, SHARE data, SHARE-COVID-19
    JEL: D1 I14 I18 J14 J16
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:ven:wpaper:2023:05&r=lab
  14. By: Marie Connolly; Akakpo Domefa Konou; Marie-Louise Leroux
    Abstract: Evaluating the relationship between health at old age and income is crucial for the design of equitable public policies targeted toward the elderly. Using 2016 Canadian survey data on adults aged between 50 and 70, we estimate the relationships between individual income, longevity and dependency at the old age. We use both subjective and objective measures of the probability to survive to age 85, of the probability to have activities of daily living (ADL) limitations, and of the probability of entering a nursing home. We find that income and the (objective and subjective) probability to live to age 85 and over are positively related while income and the (objective and subjective) probability to suffer from ADL limitations are negatively related. We also find that while the objective probability to enter a nursing home is negatively correlated with income, the subjective probability is positively correlated with income. Most of our results are driven by individuals in the highest tercile of the income distribution. Our results are robust to different sensitivity checks.
    Keywords: Long term care, Survival probability, Probability to become dependent, Nursing home, Income.
    JEL: C36 I10 I14 I18 J14
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:rsi:creeic:2301&r=lab
  15. By: Andrew J. Morgan; Minh Nguyen; Eric A. Hanushek; Ben Ost; Steven G. Rivkin
    Abstract: Efforts to attract and retain effective educators in high poverty public schools have had limited success. Dallas ISD addressed this challenge by using information produced by its evaluation and compensation reforms as the basis for effectiveness-adjusted payments that provided large compensating differentials to attract and retain effective teachers in its lowest achievement schools. The Accelerating Campus Excellence (ACE) program offers salary supplements to educators with records of high performance who are willing to work in the most educationally disadvantaged schools. We document that ACE resulted in immediate and sustained increases in student achievement, providing strong evidence that the multi-measure evaluation system identifies effective educators who foster the development of cognitive skills. The improvements at ACE schools were dramatic, bringing average achievement in the previously lowest performing schools close to the district average. When ACE stipends are largely eliminated, a substantial fraction of highly effective teachers leaves, and test scores fall. This highlights the central importance of the performance-based incentives to attract and retain effective educators in previously low-achievement schools.
    JEL: H0 I21 I28 J01 J45
    Date: 2023–03
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:31051&r=lab

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