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on Labour Economics |
| By: | Jisoo Hwang; Inkyung Yoo |
| Abstract: | Across developed countries, women's earnings decline sharply following childbirth while men's earnings remain unaffected. But how will the "motherhood effect" evolve as more women choose not to have children? We examine changes in the motherhood effect on earnings amid rising childlessness in South Korea, the country with the world's lowest fertility rate. Using an event study framework and administrative data covering the entire population, we find that earnings losses after childbirth have increased across recent cohorts of mothers. We provide suggestive evidence that the expansion of parental leave and a stronger positive selection into motherhood contributed to this trend. |
| Keywords: | Motherhood effect, child penalty, selection into motherhood, parental leave |
| JEL: | J16 J13 |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2557 |
| By: | Razavi, Goya (Dept. of Economics, Norwegian School of Economics and Business Administration); Eshaghnia, Sadegh (Dept. of Economics, University of Chicago); Leon, Raul (Dept. of Economics, Brown University) |
| Abstract: | To what extent do childhood neighborhoods shape long-run socio-economic outcomes, and through which mechanisms? Using the quasi-random assignment of refugee children across neighborhoods in Denmark, we show that exposure to higher-quality neighborhoods—as measured by average neighborhood income and the wage outcomes of permanent resident children—raises labor force participation and market income in adulthood. Beyond economic integration, better neighborhoods further promote social integration by increasing educational attainment and naturalization. Applying a causal mediation analysis, we reject full mediation via neighborhood and school characteristics but not via parental income, pointing to the family as a fundamental mediator of neighborhood effects. |
| Keywords: | neighborhood effects; intergenerational mobility; migrant integration; causal mediation; parental investments |
| JEL: | I24 I38 J15 J61 R23 |
| Date: | 2026–05–05 |
| URL: | https://d.repec.org/n?u=RePEc:hhs:nhheco:2026_006 |
| By: | Jaime Arellano-Bover; Shmuel San |
| Abstract: | We study how job mobility, firms, and firm-ladder climbing can shape immigrants' labor market success. Our context is the mass migration of former Soviet Union Jews to Israel during the 1990s. Once in Israel, these immigrants faced none of the legal barriers that are typically posed by migration regulations around the world, offering a unique backdrop to study undistorted immigrants' job mobility and resulting unconstrained assimilation. Rich administrative data allows us to follow immigrants for up to three decades after arrival. Differential sorting across firms and differential pay-setting within firms both explain important shares of the initial immigrant-native wage gap and subsequent convergence dynamics. Moreover, immigrants are more mobile than natives and faster at climbing the firm ladder, even in the long term. As such, firm-to-firm mobility is a key driver of these immigrants' long-run prosperity. Lastly, we quantify a previously undocumented job utility gap when accounting for non-wage amenities, which exacerbates immigrant-native disparities based on pay alone. |
| Keywords: | Immigration, Firms |
| JEL: | J15 J61 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2545 |
| By: | Chabé-Ferret, Bastien (Middlesex University, London); Iftikhar, Zainab (University of Bonn - CEPR); Park, JungJae (Yonsei University) |
| Abstract: | This paper quantifies the contributions of social norms and economic incentives to the 350-hour annual gap in maternal labor supply between East and West Germany. Using a collective model of family formation and labor supply estimated on GSOEP data from 2000–2017, we find that the working-mother stigma accounts for 73 percent of the gap. Economic factors partially offset the norm: higher Western wages raise the opportunity cost of staying home, so equalizing wages in West to the levels in East would nearly double the gap. We show that standard policy reforms may actually widen the regional disparity, and that their effectiveness is conditional on the norm being present: once removed, the same policies have negligible effects. |
| Keywords: | social norms, economic incentives, marriage, cohabitation, working mothers |
| JEL: | J01 J08 J12 J13 J22 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18600 |
| By: | Christian Dustmann; Chiara Giannetto; Lorenzo Incoronato; Chiara Lacava; Vincenzo Pezone; Raffaele Saggio; Benjamin Schoefer |
| Abstract: | This paper presents micro-empirical evidence on the effects of wage-setting decentralization. Our setting is Italy, where employers are required to comply with occupation- and industry-specific wage floors set by national collective bargaining agreements. We show that opting out of these agreements reduces wages but increases workers' employment and retention within firms. These effects are most pronounced in the more productive North, where the overall impact on workers' earnings is slightly positive. In contrast, in the South, wage losses outweigh employment gains, leading to a net decline in earnings. We also find that increased wage-setting flexibility is associated with higher firm survival rates in both regions. The regional divergence in outcomes aligns with a monopsony framework in which productivity and labor supply elasticities vary spatially. |
| Keywords: | Collective bargaining, unions, labor market institutions, opting out, wage floors, minimum wages |
| JEL: | E02 E24 J0 J3 J5 J6 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2543 |
| By: | Delia Furtado; Samantha Trajkovski; Nikolaos Theodoropoulos |
| Abstract: | When maternity leave policies lower the cost of taking leave, leave durations tend to increase. If enough people extend their leaves, social norms can shift, further reinforcing longer leave-taking. This paper examines whether foreign-born mothers in the US-who are not directly subject to home country policies-respond to policy changes abroad via norms. Exploiting variation in US birth timing and policy reforms abroad, we find that increases in paid leave in immigrants' home countries lead to longer US maternity leaves, even after accounting for country-of-origin fixed effects. Heterogeneity analyses and placebo tests also point to policy-induced shifting leave-taking norms. |
| Keywords: | Maternity Leave, Gender Norms, Immigrants, Female Labor Supply |
| JEL: | J13 J15 J18 J22 |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2560 |
| By: | Doxey, Alison (University of Chicago); Karger, Ezra (Chicago Federal Reserve Bank); Nencka, Peter (Miami University) |
| Abstract: | Between 1850 and 1910, the share of young Americans living in towns with high schools increased from 17% to 46% - the fastest expansion of school access in U.S. history. Using new data on every high school in the United States, we show that this expansion transformed economic opportunities for many young adults but widened class and racial inequalities. We find sharp increases in school attendance rates for high school-aged children in towns that opened a high school relative to children in nearby towns without one. Linking children to adult outcomes, we show that high schools increased women’s labor force participation and job quality, while reducing the probability of early marriage and childbearing. Increased access to high school accounts for a third of the increase in women’s labor force participation between 1870 and1930. High schools had the largest effects on children from already-wealthy families, and did not, on average, benefit Black children. While the high school movement substantially narrowed gender gaps in labor market outcomes, it also widened existing race- and class-based disparities. |
| Keywords: | high schools, education, economic history |
| JEL: | I26 J24 J16 D63 N31 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18580 |
| By: | Mika Akesaka (Research Institute of Economy, Trade and Industry and Research Institute for Economics & Business Administration, Kobe University, JAPAN); Nobuyoshi Kikuchi (Faculty of Economics and Business Administration, Tokyo Metropolitan University, JAPAN) |
| Abstract: | We study how husbands' weekday domestic work affects wives' labor supply among couples with children aged 9 or younger. To address endogenous selection, we use a control function approach that exploits bunching at zero in husbands' weekday domestic work hours. Using Japanese panel data, we find that the positive association between husbands' domestic work and wives' labor supply disappears after correcting for selection on unobservables. This suggests that the association is largely driven by selection. At the same time, husbands' domestic work increases wives' weekday domestic work, suggesting complementarities in couples' domestic work time. |
| Keywords: | Labor supply; Domestic work; Childcare; Time use; Control function |
| JEL: | J22 J13 J16 D13 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:kob:dpaper:dp2026-15 |
| By: | Ellora Derenoncourt; François Gerard; Lorenzo Lagos; Claire Montialoux |
| Abstract: | We study the role of union heterogeneity in shaping wages and inequality among unionized workers. Using linked employer-employee data from Brazil and job moves across multi-firm unions, we estimate over 4, 800 union-specific pay premia. Unions explain 3-4% of earnings variation. While unions raise wages on average, the standard deviation in union effects is large (6-7%). Validating our approach, wages fall in markets with higher vs. lower union premia following a nationwide right-to-work law. Linking premia to detailed data on union attributes, we find that unions with strike activity, collective bargaining agreements, internal competition, and skilled leaders secure higher wages. High-premium unions compress wage gaps by education while the average union exacerbates them. Post right-to-work, however, worker support for high-premium unions falls when between-group bargaining differentials are large. Our findings show that unions are not a monolith - their structure and actions shape their wage effects and, consequently, worker support. |
| Keywords: | Wage Level and Structure, Wage Differentials; Trade Unions: Objectives, Structure, and Effects |
| JEL: | J31 J51 |
| Date: | 2025–08 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2558 |
| By: | Barry R. Chiswick; RaeAnn H. Robinson |
| Abstract: | This paper is concerned with analyzing the occupational attainment of American Jewish men compared to other free men in the mid-19th century to help fill a gap in the literature on Jewish achievement. It does this by using the full count (100 percent) microdata file from the 1850 Census of Population, the first census to ask the occupation of free men. Independent lists of surnames are used to identify men with a higher probability of being Jewish. These men were more likely than others to be managers, salesmen, and craft workers, and were less likely to be farmers and laborers. The Jewish men have a higher occupational income score on average. In the multiple regression analysis, it is found that among Jewish and other free men occupational income scores increase with age (up to about age 43 for all men), literacy, being married, having fewer children, being native born, living in the South, and living in an urban area. Even after controlling for these variables that impact the occupational income score, Jews have a significantly higher score, which is the equivalent of about the size of the positive effect of being married. Similar patterns are found using the Duncan Socioeconomic Index. This higher occupational status is consistent with patterns found elsewhere for American Jews for the 18th century and throughout the 20th century. |
| Keywords: | Jews, Occupational Status, Occupational Income Score, Duncan Socioeconomic Index, 1850 Census of Population |
| JEL: | N31 J62 J15 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2541 |
| By: | Barry Chiswick; Hope Corman; Dhaval Dave; Nancy E. Reichman |
| Abstract: | This study analyzes, for the first time, the effect of increases in the minimum wage on the labor market outcomes of working age adults with cognitive disabilities, a vulnerable and low-skilled sector of the actual and potential labor pool. Using data from the American Community Survey (2008-2023), we estimated effects of the minimum wage on employment, labor force participation, weeks worked, and hours worked among working age individuals with cognitive disabilities using a generalized difference-in-differences research design. We found that a higher effective minimum wage leads to reduced employment and labor force participation among individuals with cognitive disabilities but has no significant effect on labor supply at the intensive margin for this group. Adverse impacts were particularly pronounced for those with lower educational attainment. In contrast, we found no significant labor market effects of an increase in the minimum wage for individuals with physical disabilities or in the non-disabled population. |
| Keywords: | Minimum Wage, Cognitive Disability, Employment, Labor Market Outcomes, American Community Survey |
| JEL: | J14 J2 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2540 |
| By: | Louise Devos; François Rycx; Thomas Senterre; Mélanie Volral (-) |
| Abstract: | Using matched employer–employee data on more than 62, 000 master’s graduates, this paper examines how gender differences in wage returns to fields of study vary by migration background and how educational specialisation contributes to the gender wage gap. We estimate wage regressions and apply a decomposition approach to separate sorting across fields from differences in pay within fields. Returns vary widely, with law, economics and management, and science yielding the highest returns, and women earning less than men within all fields, especially in high-paying ones. First-generation immigrants from developing countries obtain the lowest returns regardless of field of study, while second-generation immigrants approach but do not fully match natives. Fields of study explain a substantial share of gender wage inequality among natives and second-generation immigrants, whereas among first-generation immigrants broader wage disadvantages dominate. Results further vary with the number of parents originating from developing countries and with age at arrival. |
| Keywords: | gender wage gap, first- and second-generation immigrants, field of study, employer-employee data |
| JEL: | I24 I26 J16 J31 |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:rug:rugwps:26/1141 |
| By: | Samuel Berlinski (Inter-American Development Bank); Michele Giannola (University of Naples Federico II, CSEF and the Institute for Fiscal Studies); Alessandro Toppeta (SOFI, Stockholm University) |
| Abstract: | We study the relative effectiveness, cost-effectiveness, and interaction of family-and school-based learning interventions using a randomized controlled trial in Colombia that assigns children to a parental engagement program, a teacher professional development program, both, or a control group. Both interventions are grounded in a child-centered learning approach that emphasizes active engagement and the progression from informal to formal mathematical understanding. Each intervention independently generates sizable and statistically similar gains in early numeracy (0.17‡and 0.20‡). Combining them produces noadditional learning gains, suggesting that the two interventions act as substitutes over thetime horizon and skill domain we study. When benefits accruing to future cohorts are takeninto account, the teacher development program becomes at least as cost-effective as, andpotentially more cost-effective than, the parental engagement intervention. Our results sug-gest that, in this setting, strategically concentrating resources on a single binding constraint– either at home or in school – maximizes the short-run learning gains per dollar spent. |
| Keywords: | numeracy, childhood development, teacher development, parental engagement, randomized control trial, Colombia |
| JEL: | I21 I25 O15 J13 C93 |
| Date: | 2026–05–05 |
| URL: | https://d.repec.org/n?u=RePEc:sef:csefwp:781 |
| By: | Gertsberg, Marina (University of Melbourne) |
| Abstract: | Academic seminars are a central mechanism through which the finance profession allocates visibility, feedback, and network access. Using a new panel of 8, 744 external seminars at 74 U.S. finance departments from 2010 to 2024, I document five stylized facts. First, female representation rose from 10% to 25%, outpacing growth in the female share of the finance faculty. Second, seminar presenters are positively selected on research visibility: relative to same-institution faculty, they have substantially more publications, Top-3 publications, and citations, and this premium is no larger for women than for men. Third, seminar matching is strongly hierarchical: lower-ranked departments invite upward, whereas top departments draw from a broader range of tiers. Fourth, geographic reach is greater for elite-affiliated and senior scholars. Fifth, seminar opportunities are highly concentrated, with the top 10% of presenters accounting for 43% of all talks. The evidence shows that finance seminars have become more gender-inclusive while remaining strongly selective and hierarchical. |
| Keywords: | finance profession, academic seminars, diversity, hierarchy, geographic stratification, academic labor markets |
| JEL: | I23 J16 J44 J71 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18603 |
| By: | Stefano Lombardi; Nurfatima Jandarova; Kristina Zguro; Jarkko Harju; Aldo Rustichini; Andrea Ganna |
| Abstract: | Education is a major source of inequality in income and health. Polygenic indices for educational attainment (EA-PGI) capture both direct and indirect genetic influences on education, but their effects on income and health remain unclear. Using Finnish registry data on 51, 056 graduates followed annually since graduation for up to 25 years, we report three findings. First, higher EA-PGI strongly predicts income growth, but only among higher educated people: tertiary-educated graduates at the 90th percentile earn EUR 45, 392 (13.1 percent) higher discounted lifetime income than those at the 10th percentile. This effect is not mediated by overall health and is entirely absent for the secondary (high school)-educated workers, who do not benefit from higher EA-PGI levels. Second, EA-PGI does not predict income differences at labor market entry or the quality of the first employer, but rather higher job-to-job mobility toward higher-quality firms that drives the long-run income divergence. Third, controlling for parental EA-PGI in 12, 871 parent-offspring trios reduces the discounted lifetime income gap by 71 percent, and the effect of paternal (but not maternal) EA-PGI on offspring income exceeds that of the offspring's own EA-PGI. These findings suggest that genetic factors associated with educational attainment predict income trajectories primarily through faster and more frequent changes to higher-paying employers. However, much of this association reflects indirect paternal genetic effects, consistent with enduring paternal patterns of intergenerational job and income transmission. |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2604.24336 |
| By: | Montpetit, Sébastien |
| Abstract: | This paper examines the impact of prohibiting the Islamic veil in schools on economic outcomes and long-run integration of Muslim women. Using a difference-in-differences design, I show that the 1994 directive instructing school principals to ban the veil in French schools led to a substantial decline in educational attainment among affected cohorts, with persistent consequences for employment and marriage market outcomes. An analysis of mechanisms suggests that these effects stem primarily from heightened perceptions of discrimination and mistrust toward the French school system, rather than shifts in parental educational investments. Replicating prior work, I also show that misclassification of religion in Abdelgadir and Fouka (2020) and Maurin and Navarrete- Hern'andez (2023) introduces substantial bias. Despite the adverse economic consequences, the affected cohorts exhibit stronger identification with France but also higher levels of religiosity, suggesting a mixed long-run impact on cultural assimilation. |
| Keywords: | headscarf ban, religious identity, women's education, cultural integration, marriage market, misclassification bias |
| JEL: | I28 J16 J15 Z12 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:i4rdps:293 |
| By: | Hans van Kippersluis (Erasmus University Rotterdam); Hongliang Zhang (Zhejiang University) |
| Abstract: | This paper investigates how tightening work requirements in subsidized child care affects parental employment. Using Dutch administrative data, we examine a 2012 reform that capped subsidized child care hours at 140% of the hours worked by the lesser-working parent. We identify affected households by creating proxy treatment and control groups based on older siblings’ pre-reform child care usage relative to the lesser-working parent’s work hours, then employ a triple-difference framework comparing virtually constrained and non-constrained families with and without younger siblings before and after the reform. Our findings reveal a pronounced gender difference in responses to stricter work requirements: fathers showed negligible changes, while mothers responded at both employment margins. At the extensive margin, many mothers exited the labor force, resulting in a persistent 12 percentage point decrease in maternal employment among affected families. At the intensive margin, some mothers increased their work hours to retain subsidies; these effects also persist over time. Child care use fell sharply, raising concerns about child development, especially for disadvantaged families. These findings demonstrate that intensifying work requirements can have unintended negative consequences on mothers’ workforce participation and family welfare, informing debates on welfare conditionality and child care policy. |
| JEL: | H31 J08 J13 |
| Date: | 2026–03–27 |
| URL: | https://d.repec.org/n?u=RePEc:tin:wpaper:20260014 |
| By: | Martínez, Claudia; Perticará, Marcela; Puentes, Esteban; Vásquez, Javier |
| Abstract: | This paper studies how disability onset and subsequent administrative registration affect labor market trajectories in Chile, a middle-income country with a large informal sector. Using panel survey data linked to administrative records, we estimate dynamic employment and earnings effects around disability events. Disability onset generates sharp and persistent losses: Full-year employment falls by about 11 percentage points at onset and by 20 to 25 percentage points within six years, while formal wages decline by approximately 6% initially and by more than 30% five years later. Among those who remain employed, the probability of working informally rises over time while formal employment probability falls, indicating adjustment along the margin of employment quality. Registration is clearly endogenous: Individuals who certify display preexisting employment deterioration, which prevents a causal interpretation of the effects of registration. |
| Keywords: | Disability |
| JEL: | J14 J21 J24 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:idb:brikps:14575 |
| By: | Uğur Aytun; Eren Gürer; Erol Taymaz |
| Abstract: | In December 2017, the government of Türkiye announced a comprehensive ban on the procurement of outsourced services by public institutions and mandated that all workers providing such services on-site be transitioned into permanent public positions within six months. We study the labor-market consequences of this abrupt and large-scale policy change using an administrative, linked employer–employee dataset. We find that workers who transitioned into public employment experienced higher wages and improved job security. At the firm level, private service providers with greater exposure to the reform faced higher exit rates and, if they survived, declines in employment, productivity, and profitability. In contrast, municipal-owned enterprises that internalized service provision became more productive and profitable. We also document modest positive wage spillovers in local labor markets. Overall, our results suggest that the outsourcing ban reallocated rents away from private service providers toward workers and public employers. |
| Keywords: | public employment, outsourcing reform, labor market spillovers, firm dynamics, productivity |
| JEL: | J31 J38 J62 L33 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_12636 |
| By: | Schnitzlein, Daniel D. (University of Applied Labour Studies (HdBA), Innside Statistics, IZA@LISER); Lersch, Philipp M. (DIW Berlin, HU Berlin); Wiborg, Øyvind N. (University of Oslo, DIW Berlin) |
| Abstract: | We study intragenerational wealth rank mobility, investigating three dimensions: (i) wealth mobility over the life cycle, (ii) heterogeneity in mobility among subgroups and wealth components, and (iii) commonalities and differences across divergent country contexts. We use data from Germany (SOEP, N= 12, 380 individuals), Norway (administrative register data, N=3, 460, 602), and Britain (BHPS, N=7, 910; UKHLS, N=18, 428), examining intraindividual rank-rank correlations, the distribution of rank changes, and rank mobility curves. We find substantial mobility in wealth, which is often of short range. Mobility increases with the observation window (5, 10, 15 years). Wealth mobility is highest in Norway, followed by similar mobilitiy in Britain and Germany. Furthermore, early life cycle stages and parental tertiary education are associated with greater mobility, whereas gender differences are small. Mobility is higher in financial than in housing wealth, but remains substantial in the latter. Our findings reveal substantial but predominantly short-range wealth mobility, indicating that individual wealth positions are less static than cross-sectional distributions suggest, even as the overall structure of inequality persists. |
| Keywords: | wealth mobility, wealth rank, wealth dynamics |
| JEL: | D31 J60 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18596 |
| By: | Manuel Bagues; Natalia Zinovyeva |
| Abstract: | Gender segregation in higher education persists across developed countries and is paradoxically stronger in wealthier, more gender-equal societies. Using data from over 500, 000 children across 37 Western countries, we show that this segregation has roots in childhood. We document a strong correlation at the country level between segregation in higher education and in childhood friendships. Longitudinal data from 10, 000 British households further shows that children with fewer opposite-sex friends at age 7 are significantly more likely to select gender-dominated educational subjects a decade later. The stronger segregation observed in richer countries seems to reflect economic prosperity rather than backlash against gender equality: while children from wealthier households report fewer cross-gender friendships, those whose parents hold more gender-egalitarian views have more opposite-sex friends. We identify two mechanisms explaining this income gradient: affluent families' structured activities that emphasize children's self-expression foster gender-segregated environments, and higher-income children's personality traits reduce demand for cross-gender friendships. |
| Keywords: | cross-gender friendships, gender equality paradox, women in STEM |
| JEL: | J16 I21 Z13 |
| Date: | 2025–07 |
| URL: | https://d.repec.org/n?u=RePEc:crm:wpaper:2538 |
| By: | Howard, Greg (University of Illinois at Urbana-Champaign); Weinstein, Russell (University of Illinois Urbana-Champaign) |
| Abstract: | We study whether training teachers locally increases nearby teacher supply. We use the historical assignment of normal schools and insane asylums to identify the effect of university proximity. Normal schools, built to train teachers, became regional universities while asylums mostly continue as small psychiatric facilities. Our evidence suggests greater teacher supply in normal school counties: lower teacher wages and more teachers per student. Asylum counties have more teachers with emergency credentials and fewer who majored in education - suggesting they mitigate lower supply by hiring in different pools. Normal school counties have higher high school test scores and graduation rates. |
| Keywords: | teacher shortages, regional universities, teacher training, geographic frictions in the labor market |
| JEL: | I2 J61 J31 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18572 |
| By: | Dorsett, Richard (University of Westminster); Oppedisano, Veruska (University of Westminster); Thomson, Dave (FFT Lab); Zhang, Min (University of Westmisnter) |
| Abstract: | This paper examines how the timing of excluding disruptive pupils affects peer outcomes. While removing disruptive pupils may benefit classmates, delays in exclusion can impose costs. We interpret exclusion as determining the timing of removal and estimate the effects of earlier versus later exclusion using an instrumental variables approach based on exogenous variation in local capacity for excluded pupils. We find that exclusions in Year 9 generate the largest negative spillovers: an additional excluded pupil per 1, 000 reduces GCSE Maths and English scores by 0.024 and 0.044 standard deviations, lowers Level 2 and Level 3 attainment by around 0.6 percentage points, and increases the probability of being NEET at age 21 by 0.62 percentage points. Effects vary by timing and pupil characteristics, with early exclusions linked to improved labour market outcomes and later exclusions associated with broader losses for disadvantaged pupils. We show that these effects are driven by prolonged exposure to disruptive behaviour prior to exclusion, proxied by accumulated suspension days. Overall, the findings highlight the importance of timely responses to disruption and the broader social costs of exclusionary discipline. |
| Keywords: | disruptive behaviours, exclusions, schooling, peer effects |
| JEL: | C36 I2 I20 J24 |
| Date: | 2026–04 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18599 |
| By: | Márta Bisztray (HUN-REN Centre for Economic and Regional Studies); Balázs Muraközy (HUN-REN Centre for Economic and Regional Studies; University of Liverpool Management School); Rita Pető (HUN-REN Centre for Economic and Regional Studies) |
| Abstract: | More than one-third of people in the EU report having a chronic health condition (CHC), and their share in the workforce is expected to rise. Using unique linked employer-employee administrative data from Hungary—combining detailed healthcare utilization with wage records—we identify workers with CHCs and analyze their labor market outcomes with a focus on the role of firms. Men and women with CHCs are 7 and 14 percentage points less likely to be employed, respectively. Among the employed, we find wage penalties of 5.8% for men and 13.9% for women. Differences in firm-specific pay premiums account for 12% of the penalty for men and 23% for women. Event-study models with worker fixed effects show persistent wage losses following CHC onset—4% for men and 1.5% for women—of which 0.2–0.5 percentage points are due to moving to lower-paying firms, with the rest likely reflecting missed promotions and raises. We then look at the role of firm ownership, foreign ownership being a strong proxy for technology, and find that 20% of the penalty is accounted for by this firm characteristic, 60-70% of which results from worker sorting and the remaining from CHC workers benefiting less from the higher wage premium of foreign-owned firms. These numbers imply that the fall in wages between the ages 40 and 60 would be 10-20% lower had there been no CHC penalty, about 20% of which is attributable to the presence of foreign-owned firms. |
| Keywords: | Chronic health conditions, firm heterogeneity, wage inequality, foreign-owned firms |
| JEL: | J14 J31 M52 F23 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:has:discpr:2508 |
| By: | Rita Dias Pereira (NOVA University Lisbon); Hans van Kippersluis (Erasmus University Rotterdam) |
| Abstract: | This paper exploits molecular genetic data to quantify genetic confounding in parent-child educational outcomes. We develop a model of the intergenerational transmission of education based on insights from the literature on social science genetics. The model distinguishes between two types of genetic confounding. First, narrow genetic confounding reflects the direct transmission of genetic predisposition towards education. Second, broad genetic confounding captures direct genetic transmission as well as genetic nurture, i.e., an influence of parental genes on children's outcome through the family environment. Next, we use the Avon Longitudinal Study of Parents and Children (ALSPAC) data to decompose the association between parental years of education and their offspring's grades on Key Stage 4 national exams. To proxy genetic endowments, we construct Educational Attainment Polygenic Indices (EA PGIs) for parents and children. To correct for measurement error, we use Obviously-Related Instrumental Variables (ORIV) based on two independent PGIs. The results suggest that `broad genetic confounding' explains 30-45% of the parent-child educational association, and `narrow genetic confounding' 18-33%. We find no meaningful differences between mothers and fathers. Using our model, we compare our estimates to twin and adoptee designs, and show how molecular genetic approaches can recover both broad and narrow genetic confounding under plausibly weaker assumptions and with arguably greater external validity. |
| Keywords: | ALSPAC, Education, Intergenerational Mobility, Polygenic Index, Genetic endowments |
| JEL: | I24 J62 |
| Date: | 2025–09–26 |
| URL: | https://d.repec.org/n?u=RePEc:tin:wpaper:20250057 |