nep-lma New Economics Papers
on Labor Markets - Supply, Demand, and Wages
Issue of 2015‒12‒08
nine papers chosen by
Joseph Marchand
University of Alberta

  1. Measuring the use of human resources practices and employee attitudes : the Linked Personnel Panel By Kampkötter, Patrick; Mohrenweiser, Jens; Sliwka, Dirk; Steffes, Susanne; Wolter, Stefanie
  2. The use of fixed-term contracts and the (adverse) selection of public sector workers By Lucia Rizzica
  3. Where Has All the Skewness Gone? The Decline in High-Growth (Young) Firms in the U.S. By Ryan A. Decker; John Haltiwanger; Ron S. Jarmin; Javier Miranda
  4. Exchange Rate Fluctuations and Labour Market Adjustments in Canadian Manufacturing Industries By Gabriel Bruneau; Kevin Moran
  5. Testing the Heckscher-Ohlin-Vanek Theory with a Natural Experiment By Assaf Zimring
  6. Self‐Employment amongst Migrant Groups in England and Wales: New Evidence from Census Microdata By Clark, Ken; Drinkwater, Stephen; Robinson, Catherine
  7. Do large departments make academics more productive? Sorting and agglomeration economies in research By Clément Bosquet; Pierre-Philippe Combes
  8. Women at the Top in Developing Countries: Evidence from Firm-Level Data By Sekkat, Khalid; Szafarz, Ariane; Tojerow, Ilan
  9. Health, Work Capacity and Retirement in Sweden By Johansson, Per; Laun, Lisa; Palme, Marten

  1. By: Kampkötter, Patrick; Mohrenweiser, Jens; Sliwka, Dirk; Steffes, Susanne; Wolter, Stefanie (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany])
    Abstract: "This paper introduces a new data source available for HRM researchers and personnel economists, the Linked Personnel Panel (LPP). The LPP is a longitudinal and representative employer-employee data set covering establishments in Germany and designed for quantitative empirical HR research. The LPP offers a unique structure. First, the data set combines employer and employee surveys that can be matched to each other. Second, it can also be linked to a number of additional administrative data sets. Third, the LPP covers a wide range of firms and workers from different backgrounds. Finally, because of its longitudinal dimension, the LPP should facilitate the study of causal effects of HR practices. The LPP employee survey uses a number of established scales to measure job characteristics and job perceptions, personal characteristics, employee attitudes towards the organisation and employee behaviour. This paper gives an overview of both the employer and employee survey and outlines the definitions, origins and statistical properties of the scales used in the individual questionnaire." (Author's abstract, IAB-Doku) ((en))
    JEL: J24 J81 M12 M51 M52 M53 M54 M55
    Date: 2015–12–01
  2. By: Lucia Rizzica (Bank of Italy)
    Abstract: The paper seeks to investigate the relationship between job (in)security in the public sector and workers� self-selection between the private and public sector. Using data from the Italian Labour Force Survey for the years 2005-13, I show that a higher incidence of fixed-term contracts in the public sector has significant adverse selection effects in that it lowers the likelihood of workers of higher ability entering the public sector. Moreover, at least in some areas of the country, a lower relative probability of obtaining an open-ended position in the public sector decreases the likelihood that higher-ability, fixed-term workers remain in the public sector.
    Keywords: Public service delivery, incentives, selection, public sector personnel, occupational choices
    JEL: J24 O15 M54 D82
    Date: 2015–11
  3. By: Ryan A. Decker; John Haltiwanger; Ron S. Jarmin; Javier Miranda
    Abstract: The pace of business dynamism and entrepreneurship in the U.S. has declined over recent decades. We show that the character of that decline changed around 2000. Since 2000 the decline in dynamism and entrepreneurship has been accompanied by a decline in high-growth young firms. Prior research has shown that the sustained contribution of business startups to job creation stems from a relatively small fraction of high-growth young firms. The presence of these high-growth young firms contributes to a highly (positively) skewed firm growth rate distribution. In 1999, a firm at the 90th percentile of the employment growth rate distribution grew about 31 percent faster than the median firm. Moreover, the 90-50 differential was 16 percent larger than the 50-10 differential reflecting the positive skewness of the employment growth rate distribution. We show that the shape of the firm employment growth distribution changes substantially in the post-2000 period. By 2007, the 90-50 differential was only 4 percent larger than the 50-10, and it continued to exhibit a trend decline through 2011. The reflects a sharp drop in the 90th percentile of the growth rate distribution accounted for by the declining share of young firms and the declining propensity for young firms to be high-growth firms.
    Date: 2015–11
  4. By: Gabriel Bruneau; Kevin Moran
    Abstract: We estimate the link between exchange rate fluctuations and the labour input of Canadian manufacturing industries. The analysis is based on a dynamic model of labour demand, and the econometric strategy employs a panel two-step approach for cointegrating regressions. Our data are drawn from a panel of 20 manufacturing industries from the KLEMS database and cover a long sample period that includes two full cycles of appreciation and depreciation of the Canadian dollar. Our results indicate that exchange rate fluctuations have significant long-term effects on the labour input of Canada’s manufacturing industries, that these effects are stronger for trade-oriented industries, and that these long-term impacts materialize only gradually following shocks.
    Keywords: Econometric and statistical methods, Exchange rate regimes, Exchange rates, Labour markets, Recent economic and financial developments
    JEL: E E2 E24 F F1 F14 F16 F3 F31 F4 F41 J J2 J23
    Date: 2015
  5. By: Assaf Zimring (Cornerstone Research)
    Abstract: This paper uses the historical episode of the near-elimination of commuting from the West Bank into Israel, which caused a large and rapid expansion of the local labor force in the West Bank, to test the predictions of the Heckscher-Ohlin-Vanek (HOV) mode of trade. I use variation between districts in the West Bank to test these predictions, and find strong support for them: Wage changes were not correlated with the size of the shock to the district labor force (Factor Price Insensitivity); Districts that received larger influx of returning commuters shifted production more towards labor intensive industries (Rybczynski effect); And on the consumption side, the data are consistent with the assumption of identical homothetic preferences, which, combined with the production results, supports the Heckscher-Ohlin-Vanek theorem on the factor content of trade.
    Keywords: Heckscher-Ohlin, factor prices, Rybczynski effect, international trade, natural experiment, West Bank
    JEL: F11 F16 J31
    Date: 2015–11
  6. By: Clark, Ken (University of Manchester); Drinkwater, Stephen (University of Roehampton); Robinson, Catherine (University of Kent)
    Abstract: Self‐employment constitutes a vital part of the economy since entrepreneurs can provide not only employment for themselves but also for others. The link between self‐employment and immigration is, however, complex since self‐employment can be viewed as both a haven from the paid labour market or as a source of economic growth. Moreover, the nature of self-employment has changed considerably in recent decades, especially with regards to providing a flexible form of employment for many demographic groups. We investigate the evolving relationship between self‐employment and immigration in the UK using recently released microdata from the 2011 Census for England and Wales. Our findings indicate large variations, with high self‐employment rates observed for some groups with a long established history of migration to the UK (especially men born in Pakistan) and also for some groups who have arrived more recently (such as from the EU's new member states). We further explore the differences, analyse variations by gender and identify key determining factors. In addition to certain socio‐economic characteristics, it is found that migration‐related influences, such as English language proficiency and period of arrival in the UK, play an important role for some groups.
    Keywords: self‐employment, immigrants, United Kingdom
    JEL: J61 F22 J21
    Date: 2015–11
  7. By: Clément Bosquet; Pierre-Philippe Combes (Université de Cergy-Pontoise, THEMA)
    Abstract: We study how departments' characteristics impact academics' quantity and quality of publications in economics. Individual time-varying characteristics and individual fixed-effects are controlled for. Departments' characteristics have an explanatory power at least equal to a fourth of that of individual characteristics and possibly as high as theirs. An academic's quantity and quality of publications in a field increase with the presence of other academics specialised in that field and with the share of the field's output in the department. By contrast, department's size, proximity to other large departments, homogeneity in terms of publication performance, presence of colleagues with connections abroad, and composition in terms of positions and age matter at least for some publication measures but only when individual fixed effects are not controlled for. This suggests a role for individual positive sorting where these characteristics only attract more able academics. A residual negative sorting between individuals' and departments' unobserved characteristics is simultaneously exhibited.
    Keywords: Research productivity, Local externalities, Skills sorting, Peer effects, Co-author networks, Economics of science.
    JEL: R23 J24 I23
    Date: 2015
  8. By: Sekkat, Khalid (Free University of Brussels); Szafarz, Ariane (Free University of Brussels); Tojerow, Ilan (Free University of Brussels)
    Abstract: This paper uses worldwide firm-level data to scrutinize the governance factors that favor gender diversity in leadership positions. Our results reveal that the gender of the dominant shareholder is key. The chief executive of firms with a female dominant shareholder has a significantly higher probability of being a woman than in other firms. The effect is even more pronounced when the female shareholder holds a higher share of the capital and when the firm is foreign-owned. Our results suggest that "old boys' club" ownership structures are a major impediment to the empowerment of female talent in developing countries.
    Keywords: gender, diversity, ownership, leadership, CEO, development
    JEL: O15 J71 G32 M51 D22
    Date: 2015–11
  9. By: Johansson, Per (Uppsala University); Laun, Lisa (Institute for Evaluation of Labor Market and Education Policy (IFAU)); Palme, Marten (Dept. of Economics, Stockholm University)
    Abstract: Following an era of a development towards earlier retirement, there has been a reversed trend to later exit from the labor market in Sweden since the late 1990s. We investigate whether or not there are potentials, with respect to health and work capacity of the population, for extending this trend further. We use two different methods. First, the Milligan and Wise (2012) method, which calculates how much people would participate in the labor force at a constant mortality rate. Second, the Cutler et al. (2012) method, which asks how much people would participate in the labor force if they would work as much as the age group 50-54 at a particular level of health. We also provide evidence on the development of self-assessed health and health inequality in the Swedish population.
    Keywords: SHARE; Health inequality
    JEL: I10 J26
    Date: 2015–11–15

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