nep-lma New Economics Papers
on Labor Markets - Supply, Demand, and Wages
Issue of 2012‒05‒22
25 papers chosen by
Erik Jonasson
Lund University

  1. Performance Pay and Ethnic Wage Differences in Britain By Colin Green; John S. Heywood; Nikolaos Theodoropoulos
  2. Changes in wage structure in Mexico going beyond the mean: An analysis of differences in distribution, 1987-2008 By Claudia Tello; Raul Ramos; Manuel Artís
  3. The Determinants of Earnings Inequalities: Panel Data Evidence from South Africa By Kerr, Andrew; Teal, Francis J.
  4. What explains the gender earnings gap in self-employment? A decomposition analysis with German data By Lechmann, Daniel S. J.; Schnabel, Claus
  5. Minimum Wages as a Barrier to Entry – Evidence from Germany By Ronald Bachmann; Thomas K. Bauer; Hanna Kröger
  6. Wage and Occupational Assimilation by Skill Level By Alcobendas, Miguel Angel; Rodríguez-Planas, Núria; Vegas, Raquel
  7. Paid Work after Retirement: Recent Trends in Denmark By Larsen, Mona; Pedersen, Peder J.
  8. Quit Behavior and the Role of Job Protection By Gielen, Anne C.; Tatsiramos, Konstantinos
  9. Does Employer-Provided Health Insurance Constrain Labor Supply Adjustments to Health Shocks? New Evidence on Women Diagnosed with Breast Cancer By Cathy J. Bradley; David Neumark; Scott Barkowski
  10. Inter-Industry Compensation Differentials By Maury Gittleman; Brooks Pierce
  11. Quantile Treatment Effects of College Quality on Earnings: Evidence from Administrative Data in Texas By Rodney J. Andrews; Jing Li; Michael F. Lovenheim
  12. Retirement: Does Individual Unemployment Matter? Evidence from Danish Panel Data 1980–2009 By Filges, Trine; Larsen, Mona; Pedersen, Peder J.
  13. The Impact of Indian Job Guarantee Scheme on Labor Market Outcomes: Evidence from a Natural Experiment By Azam, Mehtabul
  14. Micro-evidence on day labourers and the thickness of labour markets in South Africa By PF Blaauw; WF Krugell
  15. Temporary Employment, Job Flows and Productivity: A Tale of Two Reforms By Cappellari, Lorenzo; Dell'Aringa, Carlo; Leonardi, Marco
  16. Spousal Labor Market Effects from Government Health Insurance: Evidence from a Veterans Affairs Expansion By Melissa A. Boyle; Joanna N. Lahey
  17. Short Hours, Long Hours: Hour Levels and Trends in the Retail Industry in the United States, Canada, and Mexico By Francoise Carre; Chris Tilly
  18. Item Nonresponse in Wages: Testing for Biased Estimates in Wage Equations By Michael Fertig; Katja Görlitz
  19. Employment and wages of people living with HIV/AIDS By García-Gómez, Pilar; Labeaga, José M.; Oliva, Juan
  20. Lifetime Labor Supply and Human Capital Investments By Rodolfo Manuelli; Ananth Seshadri; Yongseok Shin
  21. Dismissal Protection and Worker Flows in OECD Countries: Evidence from Cross-Country/Cross-Industry Data By Bassanini, Andrea; Garnero, Andrea
  22. Raising Job Quality and Worker Skills in the US: Creating More Effective Education and Workforce Development Systems in States By Holzer, Harry J.
  23. Parental Leave Duration and Wages: A Structural Approach By Laurent Lequien
  24. The division of housework. Does regional context matter? By Trude Lappegård, Randi Kjeldstad and Torbjørn Skarðhamar
  25. Accounting for Big City Growth in Low Paid Occupations: Immigration and/or Service Class Consumption By Gordon, Ian; Kaplanis, Ioannis

  1. By: Colin Green; John S. Heywood; Nikolaos Theodoropoulos
    Abstract: In the first study using British data, we show that the average wage advantage of holding a performance pay job is greater for minorities than that for Whites. This generates a smaller ethnic wage gap among performance pay jobs than among time rate jobs. Yet, this pattern is driven by those receiving bonuses not those receiving performance related pay and it is evident only for Asians and for those in managerial jobs. Moreover, it is partially driven by sorting in which the more able take bonus jobs. Nonetheless, the basic results persist with diminished magnitude in fixed effect estimates. These findings differ dramatically from those for United States in which bonuses appear to increase racial differentials especially at the top of the earnings distribution.
    Keywords: Performance Pay;Ethnic Earnings Differentials
    Date: 2012–05
  2. By: Claudia Tello (AQR-IREA, Universitat de Barcelona, Spain); Raul Ramos (AQR-IREA, Universitat de Barcelona, Spain); Manuel Artís (AQR-IREA, Universitat de Barcelona, Spain)
    Abstract: This paper conducts an empirical analysis of the relationship between wage inequality, employment structure, and returns to education in urban areas of Mexico during the past two decades (1987-2008). Applying Melly’s (2005) quantile regression based decomposition, we find that changes in wage inequality have been driven mainly by variations in educational wage premia. Additionally, we find that changes in employment structure, including occupation and firm size, have played a vital role. This evidence seems to suggest that the changes in wage inequality in urban Mexico cannot be interpreted in terms of a skill-biased change, but rather they are the result of an increasing demand for skills during that period.
    Keywords: wage inequality, quantile regressions, decomposition.
    JEL: J31
    Date: 2012–05
  3. By: Kerr, Andrew (University of Cape Town); Teal, Francis J. (University of Oxford)
    Abstract: In this paper we analyse the relative importance of individual ability and labour market institutions, including public sector wage setting and trade unions, in determining earnings differences across different types of employment. To do this we use the KwaZulu-Natal Income Dynamics Study data from South Africa, which show extremely large average earnings differentials across different types of employment. Our results suggest that human capital and individual ability explain much of the earnings differentials within the private sector, including the union premium, but cannot explain the large premiums for public sector workers. We show that a public sector premium exists only for those moving into the public sector. The paper addresses the challenges of non-random attrition and measurement error bias that panel data bring. Our results show that emphasising a simple binary dichotomy between the formal and informal sector can be unhelpful in attempting to explore how the labour market functions.
    Keywords: formality, trade unions, public sector, earnings, South Africa
    JEL: J31 J51 J45 O12
    Date: 2012–04
  4. By: Lechmann, Daniel S. J.; Schnabel, Claus
    Abstract: Using a large data set for Germany, we show that both the raw and the unexplained gender earnings gap are higher in self-employment than in paid employment. Applying an Oaxaca-Blinder decomposition, more than a quarter of the difference in monthly self-employment earnings can be traced back to women working fewer hours than men. In contrast variables like family background, working time flexibility and career aspirations do not seem to contribute much to the gender earnings gap, suggesting that self-employed women do not earn less because they are seeking work-family balance rather than profits. Differences in human capital endowments account for another 13 percent of the gap but segregation does not contribute to the gender earnings gap in a robust way. -- Mit einem großen Datensatz für Deutschland zeigen wir, dass sowohl der gesamte geschlechtsspezifische Verdienstunterschied als auch dessen unerklärter Teil bei Selbständigen größer ausfallen als bei abhängig Beschäftigten. Gemäß einer Oaxaca-Blinder-Zerlegung ist über ein Viertel des Unterschieds im Monatsverdienst von Selbständigen darauf zurückzuführen, dass Frauen kürzere Arbeitszeiten haben als Männer. Dagegen scheinen Variablen wie Familienhintergrund, Arbeitszeitflexibilität und Karriereaspiration nicht substanziell zum Geschlechter-Verdienstdifferenzial beizutragen. Dies legt nahe, dass selbständige Frauen nicht deshalb weniger verdienen, weil sie eher an der Vereinbarkeit von Arbeit und Familie und weniger an Gewinnerzielung interessiert sind. Unterschiede in der Humankapitalausstattung erklären weitere 13 Prozent des Differenzials, doch Segregation spielt keine eindeutige Rolle.
    Keywords: earnings differential,entrepreneurship,gender pay gap,Germany,self-employed,self-employment
    JEL: J31 J71
    Date: 2012
  5. By: Ronald Bachmann; Thomas K. Bauer; Hanna Kröger
    Abstract: This study analyses employers‘ support for the introduction of industry-specific minimum wages as a cost-raising strategy in order to deter market entry. Using a unique data set consisting of 800 firms in the German service sector, we find some evidence that high-productivity employers support minimum wages. We further show that minimum wage support is higher in industries and regions with low barriers to entry. This is particularly the case in East Germany, where the perceived threat of low-wage competition from Central and Eastern European countries is relatively high. In addition, firms paying collectively agreed wages are more strongly in favour of minimum wages if union coverage is low and the mark-up of union wage rates is high.
    Keywords: Minimum wage; product market competition; service sector
    JEL: J38 J50 L41 L80
    Date: 2012–04
  6. By: Alcobendas, Miguel Angel (Universitat Autònoma de Barcelona); Rodríguez-Planas, Núria (IZA); Vegas, Raquel (FEDEA, Madrid)
    Abstract: While much of the literature on immigrants' assimilation has focused on countries with a large tradition of receiving immigrants and with flexible labor markets, very little is known on how immigrants adjust to other types of host economies. With its severe dual labor market, and an unprecedented immigration boom, Spain presents a quite unique experience to analyze immigrations' assimilation process. Using alternative datasets and methodologies, this paper provides evidence of a differential assimilation pattern for low- versus high-skilled immigrants in Spain: our key finding is that having a high-school degree does not give immigrants an advantage in terms occupational or wage assimilation (relative to their native counterparts).
    Keywords: wage assimilation, occupational assimilation, education
    JEL: J15 J24 J61 J62
    Date: 2012–05
  7. By: Larsen, Mona (SFI - Danish National Centre for Social Research); Pedersen, Peder J. (University of Aarhus)
    Abstract: The labor market in Denmark seems to follow the trend in a number of other countries of increasing labor force participation in the 60+ group. We analyze trends for the early retirement age interval 60-64 and for the age group 65-74 where people are eligible to a national social security program from age 65. Until now, the increase in labor force participation has been most pronounced among 60-64-year-olds and among women. We find significant impact on work after retirement from education, gender, home ownership, aggregate unemployment at the time of retirement, age and education. Being married has a positive impact for men and a negative impact for women. We relate labor force participation after retirement to the cyclical situation and to the several policy reforms introduced since 1980.
    Keywords: labor force participation, retirement
    JEL: H55 J14 J26
    Date: 2012–05
  8. By: Gielen, Anne C. (IZA); Tatsiramos, Konstantinos (University of Leicester)
    Abstract: Job protection reduces job turnover by changing firms' hiring and firing decisions. Yet the effect of job protection on workers' quit decisions and post-quit outcomes is still unknown. We present the first evidence using individual panel data from 12 European countries, which differ both in worker turnover rates and in the level of job protection. We find that workers are less likely to quit their job in countries with more job protection, but conditional on quitting they receive higher wages. This evidence can be explained by increased mobility costs associated with higher expected risk of post-quit layoff and job mismatch.
    Keywords: institutions, employment protection, labor mobility, job satisfaction, wages
    JEL: J28 J62
    Date: 2012–05
  9. By: Cathy J. Bradley; David Neumark; Scott Barkowski
    Abstract: Employment-contingent health insurance creates incentives for ill workers to remain employed at a sufficient level (usually full-time) to maintain access to health insurance coverage. We study employed married women, newly diagnosed with breast cancer, comparing labor supply responses to breast cancer diagnoses between women dependent on their own employment for health insurance and women with access to health insurance through their spouse’s employer. We find evidence that women more dependent on their own job for health insurance reduce their labor supply by less after a diagnosis of breast cancer – the estimate difference is about 5.5 to 7 percent. Women’s subjective responses to questions about working more to maintain health insurance are consistent with the conclusions from observed behavior.
    JEL: J2
    Date: 2012–05
  10. By: Maury Gittleman (U.S. Bureau of Labor Statistics); Brooks Pierce (U.S. Bureau of Labor Statistics)
    Abstract: A vast literature has sought to assess the magnitude of inter-industry differences in pay and explain why they exist. The measurement of inter-industry pay differentials and the resulting use of this information to assess the empirical relevance of different labor market theories have been hampered, however, by the fact that measures of total compensation -- as opposed to just wages and salaries -- are not available in the datasets traditionally used. To our knowledge, we are the first to use compensation microdata in a study of inter-industry pay differentials. Because nonwage compensation can easily exceed 40 to 50 percent of wages, its inclusion has the potential to alter measured industry pay differences, either diminishing or amplifying them. We find that the inclusion of benefits increases industry dispersion, as measured by the standard deviation of inter-industry differentials, by 16 percent when no controls are included and by an even greater 30 percent when controls are included.
    Keywords: inter-industry wage structure, compensation
    JEL: J3
    Date: 2012–04
  11. By: Rodney J. Andrews; Jing Li; Michael F. Lovenheim
    Abstract: This paper uses administrative data on schooling and earnings from Texas to estimate the effect of college quality on the distribution of earnings. We proxy college quality using the college sector from which students graduate and focus on identifying how graduating from UT-Austin, Texas A\&M or a community college affects the distribution of earnings relative to graduating from a non-flagship university in Texas. Our methodological approach uses the rich set of observable student academic ability and background characteristics in the data to adjust the earnings distributions across college sectors for the fact that college sector quality is correlated with factors that also affect earnings. Although our mean earnings estimates are similar to previous work in this area, we find evidence of substantial heterogeneity in the returns to college quality. At UT-Austin, the returns increase across the earnings distribution, while at Texas A\&M they tend to decline with one's place in the distribution. For community college graduates, the returns relative to non-flagship four-year graduates are negative across most of the distribution of earnings, but they approach zero and become positive for higher earners. Our data also allow us to estimate effects separately by race and ethnicity, and we find that historically under-represented minorities experience the highest returns in the upper tails of the earnings distribution, particularly among UT-Austin and community college graduates. While we focus on graduates, we also show our estimates are robust to examining college attendees as well as to many other changes in the sample and to the estimation strategy. Overall, these estimates provide the first direct evidence of the extent of heterogeneity in the effect of college quality on subsequent earnings, and our estimates point to the need to consider such heterogeneity in human capital models that incorporate college quality.
    JEL: I21 J24
    Date: 2012–05
  12. By: Filges, Trine (SFI - Danish National Centre for Social Research); Larsen, Mona (SFI - Danish National Centre for Social Research); Pedersen, Peder J. (University of Aarhus)
    Abstract: The paper studies the impact from variations in unemployment on retirement among older workers. We integrate unemployment variations with early retirement programs and other pathways out of the labor force. The paper describes retirement programs, policy changes, labor force participation among older workers and presents a new estimate of the trend in the average age of retirement. Individual panel data for the last 25 years are used in estimations of the impact from individual unemployment on the retirement decision. Unemployment is found highly significant and quantitatively important for the retirement decision. We conclude that there is a clear risk of a cyclical downturn resulting in a more long run reduction in productive capacity with negative consequences for the budget of the public sector.
    Keywords: unemployment, labor force participation, retirement
    JEL: E32 J21 J26 J64
    Date: 2012–05
  13. By: Azam, Mehtabul (World Bank)
    Abstract: Public works programs, aimed at building a strong social safety net through redistribution of wealth and generation of meaningful employment, are becoming increasingly popular in developing countries. The National Rural Employment Guarantee Act (NREGA), enacted in August 2005, is one such program in India. This paper assesses causal impacts (Intent-to-Treat) of NREGA on public works participation, labor force participation, and real wages of casual workers by exploiting its phased implementation across Indian districts. Using nationally representative data from Indian National Sample Surveys (NSS) and Difference-in-Difference framework, we find that there is a strong gender dimension to the impacts of NREGA: it has a positive impact on the labor force participation and this impact is mainly driven by a much sharper impact on female labor force participation. Similarly, NREGA has a significant positive impact on the wages of female casual workers-real wages of female casual workers increased 8% more in NREGA districts compared with the increase experienced in non-NREGA districts. However, the impact of NREGA on wages of casual male workers has only been marginal (about 1%). Using data from pre-NREGA period, we also perform falsification exercise to demonstrate that the main conclusions are not confounded by pre-existing differential trends between NREGA and non-NREGA districts.
    Keywords: difference-in-difference, intent-to-treat, NREGA, rural India
    JEL: I38 O11 J21 J38
    Date: 2012–05
  14. By: PF Blaauw; WF Krugell
    Abstract: The South African labour market is characterised by sharp segmentation, high unemployment and apparently limited informal sector employment. Recent work has focussed on the importance of the quality of education while others have argued that the rigidity of the labour market constrains employment growth. This paper considers the spatial aspects of the day labour market and argues that the size and proximity of economic activity found in agglomerations ensure a thick labour market that allows for better matching between workers and jobs. The results indicate that the day labourers, who were hired by the same employer more often, receive higher earnings and the thicker metropolitan labour market allows workers to become more specialised and receive higher earnings.
    Keywords: Day labourers, Labour market, Agglomeration
    JEL: J21 J24 J31 R23
    Date: 2012
  15. By: Cappellari, Lorenzo (Università Cattolica del Sacro Cuore); Dell'Aringa, Carlo (Università Cattolica del Sacro Cuore); Leonardi, Marco (University of Milan)
    Abstract: We investigate the effects of two reforms of temporary employment using panel data on Italian firms. We exploit variation in their implementation across regions and sectors for identification. Our results show that the reform of apprenticeship contracts increased job turnover and induced the substitution of external staff with firms' apprentices, with an overall productivity-enhancing effect. The reform of fixed-term contracts instead did not produce the intended results: it induced a substitution of temporary employees in favour of external staff and reduced capital intensity, generating productivity losses. We estimate substitution elasticities across various types of temporary contracts that are consistent with this interpretation.
    Keywords: employment contracts, productivity, institutional changes
    JEL: J24 J41
    Date: 2012–04
  16. By: Melissa A. Boyle; Joanna N. Lahey
    Abstract: Although government expansion of health insurance to older workers leads to labor supply reductions for recipients, there may be spillover effects on the labor supply of affected spouses who are not covered by the programs. In the simplest model, health insurance on the job is paid for in terms of lower compensation on the job. Receiving health insurance exogenous to employment is akin to a positive income shock for the household, causing total household labor supply to drop. However, it is not clear within the household whether this decrease in labor supply will be borne by both spouses or by a specific spouse. We use a mid-1990s expansion of health insurance for U.S. veterans to provide evidence on the effects of expanding health insurance availability on the labor supply of spouses. Using data from the Current Population Survey, we employ a difference-in-differences strategy to compare the labor market behavior of the wives of older male veterans and non-veterans before and after the VA health benefits expansion to test the impact of public health insurance on these spouses. Our findings suggest that although household labor supply may decrease because of the income effect, the more flexible labor supply of wives allows the wife’s labor supply to increase, particularly for those with lower education levels.
    Date: 2012–05
  17. By: Francoise Carre (University of Massachusetts-Boston); Chris Tilly (UCLA)
    Abstract: In settings where most workers have full-time schedules, hourly wages are appropriate primary indicators of job quality and worker outcomes. However, in sectors where full-time schedules do not dominate— primarily service-producing activities—total hours matter, in addition to hourly wages, for job quality and worker outcomes. In this paper we employ a sector-focused, comparative framework to further examine hours levels—measured as average weekly hours—and trends in Canada, the United States, and Mexico. We analyze the retail sector, which is of interest because of its high rate of part-time employment in the U.S. Based on our fieldwork in the United States and Mexico and qualitative literature on Canadian retail work, we argue that the combination of business strategies and very different institutional constraints will lead U.S. retailers to a greater extent and Canadian retailers to a lesser extent to shorten hours and expand part-time jobs, whereas in Mexico it will lead retailers to lengthen hours. We apply this argument to predictions about differences in levels and trends. Drawing on standard public data sources from the three countries, we compare means and run time series regressions to estimate trends net of cyclical effects. Results broadly support our predictions, especially the distinction between the United States and Canada on the one hand and Mexico on the other. We provide additional context for these findings.
    Keywords: United States, Canada, job quality, Mexico, part-time, retail, schedule, working hours
    JEL: D22 J22 J23 J81 L81 P52
    Date: 2012–04
  18. By: Michael Fertig; Katja Görlitz
    Abstract: This paper investigates how to test and correct for nonresponse selection bias induced by missing income information when estimating wage functions. The novelty is to use the variation in interviewer-specific response rates as exclusion restriction within the framework of a sample selection model.
    Keywords: Item nonresponse; wages
    JEL: J30
    Date: 2012–04
  19. By: García-Gómez, Pilar (Erasmus School of Economics, Erasmus University Rotterdam); Labeaga, José M. (UNU-MERIT/MGSoG, Maastricht University, and UNED, Madrid); Oliva, Juan (Universidad de Castilla – La Mancha)
    Abstract: The therapeutic advances that have taken place since the mid 1990s have profoundly affected the situation of people living with HIV/AIDS, not only in terms of life expectancy and quality of life but also socio-economically. This has numerous effects on different aspects of the patients' life and, especially, on their working life. We analyse in this paper labour force participation and wages of people living with HIV/AIDS in Spain. We select a control group from the general population. We find that the employment probability decreases by 16.4 percentage points among asymptomatic HIV patients, by 22.5 percentage points among symptomatic HIV patients, and as much as by 41.3 percentage points if the person is in the AIDS phase. In addition, wages of HIV patients are from 9 to 34 per cent (if infected by Intravenous Drug Use) lower. Gender, educational attainment, unearned income, HIV clinical indicators and number of household members are the main determinants of the employment probability of HIV patients. On the other hand, wages do not play a significant role in employment decisions of these individuals.
    Keywords: HIV/AIDS, labour supply, wages, unearned income
    JEL: I10 J20
    Date: 2012
  20. By: Rodolfo Manuelli (Washington University in St. Louis and Federal Reserve Bank of St. Louis); Ananth Seshadri (University of Wisconsin--Madison); Yongseok Shin (Washington University in St. Louis and Federal Reserve Bank of St. Louis)
    Abstract: We develop a model of retirement and human capital investment to study the effects of tax and retirement policies. Workers choose the supply of raw labor (career length) and also the human capital embodied in their labor. Our model explains a significant fraction of the US-Europe difference in schooling and retirement. The model predicts that reforms of the European retirement policies modeled after the US can deliver 15-35 percent gains in per-worker output in the long run. Increased human capital investment in and out of school accounts for most of the gains, with relatively small changes in career length. JEL classification: E24; J24
    Keywords: Lifetime labor supply human capital
    JEL: E24 J24
  21. By: Bassanini, Andrea (OECD); Garnero, Andrea (Paris School of Economics)
    Abstract: Exploiting a unique dataset including cross-country comparable hiring and separation rates by type of transition for 24 OECD countries, 23 business-sector industries and 13 years, we study the effect of dismissal regulations on different types of gross worker flows, defined as one-year transitions. We use both a difference-in-difference approach – in which the impact of regulations is identified by exploiting likely cross-industry differences in their impact – and standard time-series analysis – in which the effect of regulations is identified through regulatory changes over time. We find that the more restrictive the regulation, the smaller is the rate of within-industry job-to-job transitions, in particular towards permanent jobs. By contrast, we find no significant effect as regards separations involving an industry change or persistent joblessness. The extent of reinstatement in the case of unfair dismissal appears to be the most important regulatory determinant of gross worker flows. We also present a large battery of robustness checks that suggest that our findings are robust.
    Keywords: reinstatement, unfair dismissals, employment protection legislation, job-to-job transitions, industry-specific human capital, resource reallocation, gross worker flows, cross-country data
    JEL: J23 J24 J62 J63
    Date: 2012–04
  22. By: Holzer, Harry J. (Georgetown University)
    Abstract: To improve the employment rates and earnings of Americans workers, we need to create more coherent and effective education and workforce development systems, focusing primarily (though not exclusively) on disadvantaged youth and adults, and with education and training more clearly targeted towards firms and sectors providing good-paying jobs. This paper proposes a new set of competitive grants from the federal government to states that would fund training partnerships between employers in key industries, education providers, workforce agencies and intermediaries at the state level, plus a range of other supports and services. The grants would especially reward the expansion of programs that appear successful when evaluated with randomized control trial techniques. The evidence suggests that these grants could generate benefits that are several times larger than their costs, and would therefore lead to higher earnings and lower unemployment rates among the disadvantaged.
    Keywords: education, workforce development, jobs, skills, employment
    JEL: J2 J3 J6 J08
    Date: 2012–05
  23. By: Laurent Lequien (CREST)
    Abstract: We investigate the existence of causal mechanisms from parental leave duration to subsequent wages. Our instrumental variable is a French reform giving financial incentives to take a parental leave. Two longitudinal datasets provide us with information on wages and familial background from 1976 to 2005. In our context, panel data estimations potentially suffer from unobserved heterogeneity, endogeneity and selection. We implement an innovative procedure proposed by Semykina and Wooldridge (2010) to take into account these three problems simultaneously. We find that parental leave duration has a significant and negative causal impact on later wages
    Keywords: Parental leave duration, wages, selection, endogeneity, panel data
    JEL: J31 C33 J68
    Date: 2012–02
  24. By: Trude Lappegård, Randi Kjeldstad and Torbjørn Skarðhamar (Statistics Norway)
    Abstract: This study investigates the relationship between the division of housework in couples and the local gender equality context. We use data from the Norwegian Generations and Gender survey 2007 combined with a range of macrolevel measures on gender equality in the municipality where the respondents live. Results show that in married and cohabiting couples, the division of housework is associated with local gender equality context. Irrespective of their individual characteristics, couples living in municipalities with high gender equality have more equal division of housework. The within country regional variation in women’s status and participation on various arenas as compared to men’s, seems to influence housework arrangements in the family. This corresponds to findings from previous studies comparing countries, hence indicating that several of the operating mechanisms are also present at a lower aggregate level. However, in contrast to cross-national comparisons, we find that individual characteristics are not associated differently with the division of housework according to regional gender context. This might be due to the fact that Norway is a relatively homogeneous and egalitarian country at both the regional and individual level.
    Keywords: division of housework; regional gender equality index; multilevel analysis; Norway
    JEL: J22
    Date: 2012–05
  25. By: Gordon, Ian; Kaplanis, Ioannis
    Abstract: Growth of 'global cities' in the 1980s was supposed to have involved an occupational polarisation, including growth of low paid service jobs. Though held to be untrue for European cities, at the time, some such growth did emerge in London a decade later than first reported for New York. The question is whether there was simply a delay before London conformed to the global city model, or whether another distinct cause was at work in both cases. This paper proposes that the critical factor in both cases was actually an upsurge of immigration from poor countries providing an elastic supply of cheap labour. This hypothesis and its counterpart based on growth in elite jobs are tested econometrically for the British case with regional data spanning 1975-2008, finding some support for both effects, but with immigration from poor countries as the crucial influence in late 1990s London. Keywords: regional labour markets; wages; employment; international migration; consumer demand JEL Codes: J21, J23, F22, R12
    Keywords: Mercat de treball, Salaris, Ocupació, Migracions de pobles, Economia regional, Consumidors, 33 - Economia,
    Date: 2012

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