| Date: | 2011-07 |
| By: | Antonio Accetturo (Bank of Italy) |
| URL: | |
| Activity and employment rates for immigrant women in many industrialized countries display a great variability across national groups. The aim of this paper is to assess whether this well-known fact is due to a voluntary decision (i.e. large reservation wages by the immigrants) or to an involuntary process in that the labour market evaluation of their skills is low. This is done by estimating the reservation wages for each individual in the dataset. Our results show that low activity and employment rates for certain national groups are not associated with high reservation wages. This implies that low participation should not be interpreted as a voluntary decision. | |
| Keywords: | Reservation wages, female labour supply, cross-national differences |
| JEL: | J22 |
| Date: | 2011-10 |
| By: | Carlo Gianelle |
| URL: | |
| This paper investigates how employment intermediaries affected the inter-firm network of worker mobility in an region of Italy in response of the reform that first allowed for temporary employment agencies in 1997. We map worker reallocations from a matched employer-employee dataset onto a directed graph, where vertices indicate firms, and links denote transfers of workers between firms. Using network-based methodologies we find that temporary employment agencies significantly increase network integration and practicability, while fastly increasing control over hiring channels. The policy implications of the results are discussed, highlighting the potential of network analysis as monitoring tool for regional and local labour markets. | |
| Keywords: | Inter-firm networks, labour mobility, temporary employment agencies |
| JEL: | D85 |
| Date: | 2011-11-11 |
| By: | Andersson, Lina (Linnaeus University) |
| URL: | |
| We investigate the importance of ethnic origin and local labour markets conditions for self-employment propensities in Sweden. In line with previous research we find differences in the self-employment rate between different immigrant groups as well as between different immigrant cohorts. We use a multilevel regression approach in order to quantify the role of ethnic background, point of time for immigration and local market conditions in order to further understand differences in self-employment rates between different ethnic groups. We arrive at the following: The self-employment decision is to a major extent guided by factors unobservable in register data. Such factors might be i.e. individual entrepreneurial ability and access to financial capital. The individual’s ethnic background and point of time for immigration play a smaller role for the self-employment decision but are more important than local labour market condition | |
| Keywords: | Self-employment; immigrant background; local labour market |
| JEL: | J15 |
| Date: | 2011-10 |
| By: | Corak, Miles (University of Ottawa) |
| URL: | |
| The successful acquisition of a language is often characterized in terms of critical periods. If this is the case it is likely that children who migrate face different challenges in attaining high school credentials depending upon their age at immigration. This paper examines the education outcomes of a cohort of immigrants who arrived in Canada as children. The 2006 Census is used and it is found that there is in fact a distinct change in the chances that children will hold a high-school diploma according to the age at which they arrived in the country. The chances of being a high-school dropout do not vary according to age at arrival up to about the age of nine, with children arriving after that age facing a distinct and growing increase in the chances that they will not graduate from high school. The findings suggest that public policy addressing the long run success of immigrant children needs to be mindful of the variation i | |
| Keywords: | education, immigration, children |
| JEL: | I29 |
| Date: | 2011-11 |
| By: | Marina Murat |
| URL: | |
| This paper uses data from PISA 2006 on science, mathematics and reading to analyse immigrant school gaps – negative difference between immigrants’ and natives’ scores - and the structural features of educational systems in two adjacent countries, Italy and France, with similar migration inflows and with similar schooling institutions, based on tracking. Our results show that tracking and school specific programs matter; in both countries, the school system upholds a separation between students with different backgrounds and ethnicities. Residential segregation or discrimination seem also to be at work, especially in France. Given the existing school model, a teaching support in mathematics and science in France and in reading in Italy would help immigrant students to converge to natives’ standards. | |
| Keywords: | International migration; educational systems; PISA |
| JEL: | F22 |
| Date: | 2011-10 |
| By: | Giulietti, Corrado (IZA) |
| URL: | |
| The paper studies the impact of unemployment benefits on immigration. A sample of 19 European countries observed over the period 1993-2008 is used to test the hypothesis that unemployment benefit spending (UBS) is correlated with immigration flows from EU and non-EU origins. While OLS estimates reveal the existence of a moderate correlation for non-EU immigrants only, IV and GMM techniques used to address endogeneity issues yield, respectively, a much smaller and an essentially zero causal impact of UBS on immigration. All estimates for immigrants from EU origins indicate that flows within the EU are not related to unemployment benefit generosity. This suggests that the so-called "welfare migration" debate is misguided and not based on empirical evidence. | |
| Keywords: | immigration, unemployment benefit spending, welfare magnets, European Union |
| JEL: | H53 |
| Date: | 2011-10 |
| By: | Drydakis, Nick (University of Patras) |
| URL: | |
| This study investigates the impact of ethnic identity on Albanian, Bulgarian, Romanian, Georgian, and Russian wages in Greece. Treating ethnic identity as a composite of language, cultural habits, ethnic-self identification, societal interaction, and future citizenship plans, the estimations suggest that assimilation and integration are positively associated with immigrant wages, while separation and marginalisation are negatively associated with immigrant wages, after considering various demographic and pre- and post-immigration characteristics. In addition, dramatic wage growth for fully assimilated and integrated immigrants, and vast wage losses for totally separated and marginalised immigrants are estimated. A healthy Greek – as well as a European – immigration system should recognise labour immigration flows and the potential of repeat immigration and evaluate the cornerstone features of ethnic identity. | |
| Keywords: | ethnic identity, earnings |
| JEL: | F22 |
| Date: | 2011-10 |
| By: | Collier, William (University of Kent) |
| URL: | |
| This paper utilises survey data of return migrants to analyse the determinants of remittances sent while the migrants were abroad. We approach our research question from the perspective of three sending countries in the Maghreb, namely Algeria, Morocco and Tunisia. We investigate the remittance behaviour using the migrants’ conditions before migration as well as during the migration experience. Using a two-part model, we show that the decision to remit and the amount remitted depend on a combination of different migrant characteristics as well as the duration and form of migration. We also consider if the remittance behaviour is dependent on the type of return: decided or compelled. We show that those who decided to return have a higher probability to remit for investment purposes and remit more as the time spent abroad increases. | |
| Keywords: | remittances, return migration, Maghreb countries |
| JEL: | F22 |
| Date: | 2011-10 |
| By: | Stark, Oded |
| URL: | |
| This paper identifies the migration policies that emerge when both the sending country and the receiving country wield power to set migration quotas, when controlling migration is costly, and when the decision how much human capital to acquire depends, among other things, on the migration policies. The paper analyzes the endogenous formation of bilateral agreements in the shape of transfers to support migration controls, and in the shape of joint arrangements regarding the migration policy and the cost-sharing of its implementation. The paper shows that in equilibrium both the sending country and the receiving country can participate in setting the migration policy, that bilateral agreements can arise as a welfare-improving mechanism, and that the sending country can gain from migration even when it does not set its preferred policy. | |
| Keywords: | Human capital formation, International migration, Migration policies, Welfare analysis, Institutional and Behavioral Economics, Labor and Human Capital, F22, I30, J24, J61, |
| Date: | 2011-11-01 |
| By: | Coupe, Tom |
| URL: | |
| Using a rich data set of almost the entire population of Ukrainian secondary schools, the authors estimate the effect of school size and class size on the performance of secondary schools on Ukraine's External Independent Test. They find that larger schools tend to have somewhat better performance, both in terms of test scores and in terms of test participation. The size of this effect is relatively small, however, especially in rural areas for which the estimates are likely to be more clean estimates. Class size is found to be insignificant in most specifications and, if significant, of negligible size. | |
| Keywords: | Tertiary Education,Secondary Education,Teaching and Learning,Education For All,Primary Education |
| Date: | 2011-11-15 |
| By: | Wen Fan (University College Dublin) |
| URL: | |
| While much empirical work concerns job tenure, this paper introduces the concept of school tenure -- the length of time one student has been in a given school. I examine whether and how school tenure impacts students’ output using rich cohort data on England’s secondary schools. Ordinary Least Squares (OLS) estimates suggest that, on average, students benefit from longer own school tenure but suffer from that of their peers. Using the number of times the student moved school during the academic year as an instrument for school tenure to deal with potential endogeneity, the resulting Two-Stage Least Squares (TSLS) estimates suggest the effects of school tenure are positive and heterogeneous across students. While advantaged students are more likely to gain from own longer school tenure, disadvantaged ones are benefit if their peers have longer tenure. | |
| Keywords: | school tenure; school moving; peer effects |
| Date: | 2011-11 |
| By: | J. Ignacio García-Pérez (Department of Economics, Universidad Pablo de Olavide) |
| URL: | |
| Grade retention practices are at the forefront of the educational debate. In this paper, we use PISA 2009 data for Spain to measure the effect of grade retention on students’ achievement. One important problem when analyzing this question is that school outcomes and the propensity to repeat a grade are likely to be determined simultaneously. We address this problem by estimating a Switching Regression Model. We find that grade retention has a negative impact on educational outcomes, but we confirm the importance of endogenous selection, which makes observed differences between repeaters and non-repeaters appear 14.6% lower than they actually are. The effect on PISA scores of repeating is much smaller (-10% of non-repeaters’ average) than the counterfactual reduction that non-repeaters would suffer had they been retained as repeaters (-24% of their average). Furthermore, those who repeated a grade during primary education suff | |
| Keywords: | Grade retention, educational scores, PISA |
| JEL: | D63 |
| Date: | 2011-11-01 |
| By: | Carneiro, Pedro |
| URL: | |
| This paper estimates average and marginal returns to schooling in Indonesia using a non-parametric selection model estimated by local instrumental variables, and data from the Indonesia Family Life Survey. The analysis finds that the return to upper secondary schooling varies widely across individual: it can be as high as 50 percent per year of schooling for those very likely to enroll in upper secondary schooling, or as low as -10 percent for those very unlikely to do so. Returns to the marginal student (14 percent) are well below those for the average student attending upper secondary schooling (27 percent). | |
| Keywords: | Education For All,Secondary Education,Teaching and Learning,Primary Education,Population Policies |
| Date: | 2011-10 |
| By: | Bauer, Thomas (RWI) |
| URL: | |
| German universities are regarded as being under-financed, inefficient, and performing below average if compared to universities in other European countries and the US. Starting in the 1990s, several German federal states implemented reforms to improve this situation. An important part of these reforms has been the introduction of indicator-based funding systems. These financing systems aimed at increasing the competition between universities by making their pubic funds dependent on their relative performance concerning different output measures, such as the share of students obtaining a degree or the amount of third party funds. This paper evaluates whether the indicator-based funding created unintended incentives, i.e. whether the reform caused grade inflation. Estimating mean as well as quantile treatment effects, we cannot support the hypothesis that increased competition between universities causes grade inflation. | |
| Keywords: | grade inflation, higher education funding, university competition |
| JEL: | H52 |
| Date: | 2011-11 |
| By: | Marina Murat |
| URL: | |
| This paper uses data from PISA 2006 on science, mathematics and reading to analyse immigrant school gaps – negative difference between immigrants’ and natives’ scores - and the structural features of educational systems in two adjacent countries, Italy and France, with similar migration inflows and with similar schooling institutions, based on tracking. Our results show that tracking and school specific programs matter; in both countries, the school system upholds a separation between students with different backgrounds and ethnicities. Residential segregation or discrimination seem also to be at work, especially in France. Given the existing school model, a teaching support in mathematics and science in France and in reading in Italy would help immigrant students to converge to natives’ standards. | |
| Keywords: | International migration; educational systems; PISA |
| JEL: | F22 |
| Date: | 2011-11 |
| By: | Francois Keslair |
| URL: | |
| The need for education to help every child rather than focus on average attainment has become a more central part of the policy agenda in the US and the UK. Remedial programmes are often difficult to evaluate because participation is usually based on pupil characteristics that are largely unobservable to the analyst. In this paper we evaluate programmes for children with moderate levels of 'special educational needs' in England. We show that the decentralized design of the policy generates significant variations in access to remediation resources across children with similar prior levels of difficulty. However, this differential is not reflected in subsequent educational attainment - suggesting that the programme is ineffective for 'treated' children. In the second part of our analysis, we use demographic variation within schools to consider the effect of the programme on whole year groups. Our analysis is consistent with no over | |
| Keywords: | education, special needs, evaluation, |
| JEL: | I2 |
| Date: | 2011-10 |
| By: | Antonella D'Agostino |
| URL: | |
| Recently the quality of Higher Education (HE) system and its evaluation have been key issues of the political and scientific debate on education policies all over Europe. In the wide landscape that involves the entire HE system we draw attention on the third level of its organization, i.e. the Ph.D. In particular, this paper discusses the necessity of monitoring the recruitment process of Ph.D. system because it represents a fundamental aspect of the Ph.D. system as a whole. We introduce a set of concepts related to the recruitment process and then we make them computable with synthetic indicators. The study provides an empirical analysis based on doctoral schools of four academic years at the University of Siena. Proposed indicators are finally used for detecting weakness and strength of each Ph.D. school. | |
| Keywords: | Ph.D. schools, Ph.D.s. recruitment, diversity, external attractiveness, polarization |
| JEL: | I21 |
| Date: | 2011-11-15 |
| By: | Lindahl, Lena (Swedish Institute for Social Research, Stockholm University) |
| URL: | |
| Many countries have had to tackle escalating youth unemployment in the aftermath of the financial crisis of 2008, but compared with other countries in the European Union, youth unemployment has increased particularly sharply in Sweden. Currently, Swedish 20-24 year olds are more than three times as likely to be unemployed than are adult workers, which is the greatest such ratio within the EU-15. The bulk of youth unemployment spells starts directly after upper secondary school ends, which in turn suggests special attention should be directed to the interaction of vocational education and labor markets. This paper discusses in the light of international research findings how to ease the transition from school into the labor market for vocational students. The evidence discussed in the paper centers on which educational structures lead to good labor market outcomes for vocational students and especially what we know about the relat | |
| Keywords: | - |
| Date: | 2011-11 |
| By: | Eric A. Hanushek |
| URL: | |
| Decentralization of decision-making is among the most intriguing recent school reforms, in part because countries went in opposite directions over the past decade and because prior evidence is inconclusive. We suggest that autonomy may be conducive to student achievement in well-developed systems but detrimental in low-performing systems. We construct a panel dataset from the four waves of international PISA tests spanning 2000-2009, comprising over one million students in 42 countries. Relying on panel estimation with country fixed effects, we identify the effect of school autonomy from within-country changes in the average share of schools with autonomy over key elements of school operations. Our results show that autonomy affects student achievement negatively in developing and low-performing countries, but positively in developed and high-performing countries. These results are unaffected by a wide variety of robustness and s | |
| JEL: | H4 |
| Date: | 2011-10 |
| By: | Corak, Miles (University of Ottawa) |
| URL: | |
| The successful acquisition of a language is often characterized in terms of critical periods. If this is the case it is likely that children who migrate face different challenges in attaining high school credentials depending upon their age at immigration. This paper examines the education outcomes of a cohort of immigrants who arrived in Canada as children. The 2006 Census is used and it is found that there is in fact a distinct change in the chances that children will hold a high-school diploma according to the age at which they arrived in the country. The chances of being a high-school dropout do not vary according to age at arrival up to about the age of nine, with children arriving after that age facing a distinct and growing increase in the chances that they will not graduate from high school. The findings suggest that public policy addressing the long run success of immigrant children needs to be mindful of the variation i | |
| Keywords: | education, immigration, children |
| JEL: | I29 |
| Date: | 2011-06 |
| By: | Piero Cipollone (World Bank and Bank of Italy) |
| URL: | |
| We examine the relationship between education and mortality in a young population of Italian males. In 1981 several cohorts of young men from specific southern towns were unexpectedly exempted from compulsory military service after a major quake hit the region. Comparisons of exempt cohorts from least damaged towns on the border of the quake region with similar ones from neighbouring non-exempt towns just outside the region show that, by 1991, the cohorts exempted while still in high school display significantly higher graduation rates. The probability of dying over the decade 1991-2001 was also significantly lower. Several robustness checks confirm that the findings do not reflect omitted quake-related confounding factors, such as the ensuing compensatory interventions. Moreover, cohorts exempted soon after high school age do not display higher schooling or lower mortality rates, thus excluding that the main findings reflect dir | |
| Keywords: | education, mortality, health, schooling, human capital |
| JEL: | I20 |
| Date: | 2011 |
| By: | Yuan-Cheih Chang |
| URL: | |
| This paper examines how universities can develop a new organizational structure to cope with the rise of academic entrepreneurship. By deploying the Pasteurian quadrant framework, knowledge creation and knowledge utilization in universities are measured. The relationships between university antecedents, Pasteurian orientation, and research performance are analyzed. A survey of university administrators and faculty members collected 634 responses from faculty members in 99 departments among 6 universities. The findings indicate that university antecedents of strategic flexibility and balancing commitment contribute to a greater Pasteurian orientation in university departments. The higher degree of Pasteurian orientation has significantly positive impacts on the performance both of knowledge creation and knowledge utilization. Moreover, the Pasteurian orientation acts as a mediator between university antecedents and research perfor | |
| Keywords: | Academic entrepreneurship, Pasteur’s quadrant, research excellence, research commercialization |
| Date: | 2011-10 |
| By: | Lundborg, Petter (Lund University) |
| URL: | |
| In this paper, we focus on possible causal mechanisms behind the intergenerational transmission of human capital. For this purpose, we use both an adoption and a twin design and study the effect of parents' education on their children's cognitive skills, non-cognitive skills, and health. Our results show that greater parental education increases children's cognitive and non-cognitive skills, as well as their health. These results suggest that the effect of parents' education on children's education may work partly through the positive effect that parental education has on children's skills and health. | |
| Keywords: | intergenerational transmission, human capital, education, health, cognitive skills, non-cognitive skills, adoptees, twins |
| JEL: | I12 |
| Date: | 2011-06 |
| By: | Sébastien Massoni (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I) |
| URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-00639571&r=edu |
| The Action Lecture program is an innovative teaching method run in some nursery and primary schools in Paris and designed to improve pupils' literacy. We report the results of an evaluation of this program. We describe the experimental protocol that was built to estimate the program's impact on several types of indicators. Data were processed following a Differences-in-Differences (DID) method. Then we use the estimation of the impact on academic achievement to conduct a cost-effectiveness analysis and take a reduction of the class size program as a benchmark. The results are positive for the Action Lecture program. | |
| Keywords: | Economics of education, evaluation, cost-effectiveness analysis, field experiment. |
| Date: | 2011-10 |
| By: | Winkler, Anne E. (University of Missouri-St. Louis) |
| URL: | |
| There is good reason to think that non-elite programs in economics may be producing relatively more research than in the past: Research expectations have been ramped-up at non-PhD institutions and new information technologies have changed the way academic knowledge is produced and exchanged. This study investigates this question by examining publishing productivity in economics (and business) using data from the Web of Science (Knowledge) for a broad set of institutions – both elite and non-elite – over a 17-year period, from 1991 through 2007. Institutions are grouped into six tiers using a variety of sources. The analysis provides evidence that non-elite institutions are gaining on their more elite counterparts, but the magnitude of the gains are small. Thus, the story is more of constancy than of change, even in the face of changing technology and rising research expectations. | |
| Keywords: | higher education, research productivity, publishing trends, inequality |
| JEL: | A14 |
| Date: | 2011-09 |
| By: | Jaromir Cekota (United Nations Economic Commission for Europe) |
| URL: | |
| This paper investigates the educational attainment, labour market participation and living conditions of young Roma adults in Bulgaria, Hungary and Romania based on data from the generations and gender surveys and other sources of information. It shows that in spite of a small improvement in the educational attainment of young Roma in comparison to the generation of their parents, the educational achievement and employment gaps have increased considerably during the post-communist period. The paper also compares living conditions of the Roma with other population groups. It concludes with a discussion of policy challenges. | |
| Keywords: | minorities, Roma, discrimination, employment, education, transition |
| JEL: | I31 |
| Date: | 2011-10-11 |
| By: | Mendolicchio, Concetta (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]) |
| URL: | |
| "We study the returns on education in Europe in a comparative perspective. We extend the model of de la Fuente [(2003). Human Capital in a Global and Knowledgebased Economy. part II: Assessment at the EU Country Level. Report for the European Commission], by estimating the values of the relevant parameters for men and women and introducing several variables specifically related to maternity leaves and benefits. As a preliminary step, we evaluate the effect of education on the wage profile. We estimate the Mincerian coefficients for 12 West European countries using the EU-SILC data for 2007 and use them as input in the optimisation problem of the individual to calibrate the model. Finally, we analyse the impact and relevance of several public policy variables. In particular, we evaluate the elasticities of the returns on education with respect to unemployment benefits, marginal and average tax rates, maternity leaves and childcare | |
| Keywords: | Bildungsertrag - internationaler Vergleich, Humankapital, geschlechtsspezifische Faktoren, Westeuropa, Österreich, Belgien, Dänemark, Frankreich, Bundesrepublik Deutschland, Irland, Italien, Luxemburg, Niederlande, Portugal, Spanien, Schweden |
| JEL: | I21 |
Date: | 2011-11 |
By: | Tol, Richard S. J. |
URL: | |
We use a demo-economic model to examine the question of whether climate change could widen or deepen poverty traps. The model includes two crucial mechanisms. Parents are risk averse when deciding how many children to have; fertility is high when infant survival is low. High fertility spreads scarce household resources thin, resulting in children being poorly educated. At the macro level, technological progress is slow because of decreasing returns to scale in agriculture. With high population growth and slow technological progress, the economy stagnates. If, on the other hand, infant survival is high, then fertility is low, education is high, and the economy grows exponentially. Diarrhea and malaria are among the leading causes of infant mortality; both are sensitive to weather and climate. There may thus be a climate-related poverty trap where climate change increases disease burdens that reinforce poverty. We estimate finite-m | |
Keywords: | children/Climate change/education/fertility/growth/infant mortality/population/poverty/poverty traps/risk |
Date: | 2011-10 |
By: | Kvist, Anette Primdal (University of Aarhus) |
URL: | |
This paper uses Danish register-based data for the population of children born in 1990-1997 to investigate the effects on parents of having a child with attention-deficit/hyperactivity-disorder (ADHD). Ten years after birth, parents of children diagnosed with ADHD have a 75% higher probability of having dissolved their relationship and a 7-13% lower labor supply. Exploiting detailed information about documented risk factors behind ADHD, we find that roughly half of this gap is due to selection. However, a statistically and economically significant gap is left, which is likely related to the impact of high psychic costs of coping with a child with ADHD. | |
Keywords: | ADHD, child health, marital dissolution, labor supply |
JEL: | I12 |
Date: | 2011-10 |
By: | Nicolas Jacquemet (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris) |
URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-00639313&r=dem |
We propose a search-matching model of the marriage market that extends Shimer and Smith (2000) to allow for labor supply. We characterize the steady-state equilibrium when exogenous divorce is the only source of risk. The estimated matching probabilities that can be derived from the steady-state flow conditions are strongly increasing in both male and female wages. We estimate that the share of marriage surplus appropriated by the man increases with his wage and that the share appropriated by the woman decreases with her wage. We find that leisure is an inferior good for men and a normal good for women. | |
Keywords: | Marriage search model, collective labor supply, structural estimation. |
Date: | 2011-09 |
By: | Luigi Pierfranco Campiglio (DISCE, Università Cattolica) |
URL: | |
The aim of this paper is to explain the economic causes and consequences of the sharp decline in Italy’s fertility rate, the most dramatic decline in the world together with that in Japan. The main cause is shown to originate in the mid-seventies: a sudden increase in the unemployment rate among young people, which has remained at a high level since then, for 40 years being closely associated with the country’s economic activity. The same pattern has been found for many other countries, albeit in a less severe form. The main consequence of high unemployment among young people is the delay in achieving a level of permanent income such as to permit the starting of a family: this economic constraint is further reinforced by the length of formal education, especially for young women. We show that in Italy it is essential to form a two-earner family in order to pass the threshold for a decent standard of living, especially when th | |
Keywords: | family, unemployment, fertility |
JEL: | J13 |
Date: | 2011-09 |
By: | Ylenia Brilli (DEFAP, Graduate School in Economics and Finance of Public Administration (Catholic University of Milan and University of Milano-Bicocca)) |
URL: | |
This paper investigates the effects of public childcare availability in Italy on mothers' working status and children's scholastic achievements. We use a newly available dataset containing individual standardized test scores of pupils attending second grade of primary school in 2008-09 in conjunction with data on public childcare availability. Public childcare coverage in Italy is scarce (12.7 percent versus the OECD average of 30 percent) and the service is "rationed": each municipality allocates the available slots according to eligibility criteria. We contribute to the existing literature taking into account rationing in public childcare access and the functioning of childcare market. Our estimates indicate that childcare availability has positive and significant effects on both mothers' working status and children's language test scores. The effects are stronger when the degree of rationing is high and for low educated mother | |
Keywords: | childcare, female employment, child cognitive outcomes |
JEL: | J13 |
Date: | 2011-09 |
By: | Fisher, Hayley |
URL: | |
I examine the effect of marriage penalties in the US income tax system on marital status. I construct a simulated instrument that exploits variation in the tax code over time and between US states to deal with potential endogeneity between the marriage penalty a couple faces and their marital status. I find that a $1000 increase in the marriage penalty faced reduces the probability of marriage by 1.7 percentage points, an effect four times larger than previously estimated. Those in the lowest education groups respond by as much as 2.7 percentage points, with the average response declining as education increases. | |
Keywords: | marriage penalty; cohabitation; marriage |
Date: | 2011-11-15 |
By: | Tisch, Anita (Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany]) |
URL: | |
"With an ageing German work force, the relationship between work and workload with individual health and workability is of increasing public interest. The German Cohort Study on Work, Age and Health 'lidA - leben in der Arbeit' is designed to further investigate precisely this relationship, examining the birth cohorts of 1959 and 1965 exemplarily. Both cohorts were born during the German baby boom following the Second World War. Currently, they are on the threshold to higher working age. This report summarizes some preparatory work to the lidA-study and provides a detailed description of the labor market entry and labor participation of both cohorts considered in the lidA-study. Although growing up under similar institutional settings, members of the two birth cohorts have been confronted with different opportunities and constraints. While both cohorts have benefited from the educational expansion, their labor market entry was al | |
Keywords: | ältere Arbeitnehmer, Gesundheit, Arbeitswelt, arbeitsbedingte Krankheit, Arbeitsbelastung, Berufsverlauf, Arbeitslosigkeit, Berufseinmündung, Erwerbsbeteiligung, Qualifikationsniveau |
Date: | 2011-11-08 |
By: | Roy Cerqueti (University of Macerata) |
URL: | |
This paper analyzes the existing relationship between ethnic fractionalization, corruption and the growth rate of a country. We provide a simple theoretical model. We show that a nonlinear relationship between fractionalization and corruption exists: corruption is high in homogeneous or very fragmented countries, but low where fractionalization is intermediate. In fact, when ethnic diversity is intermediate, constituencies act as a check and balance device to limit ethnically-based corruption. Consequently, the relationship between fractionalization and growth rate is also non-linear: growth is high in the middle range of ethnic diversity, low in homogeneous or very fragmented countries. | |
Keywords: | corruption, ethnic fractionalization, monitoring cost, economic growth. |
JEL: | D73 |
Date: | 2011-11 |
By: | Jesus Fernandez-Villaverde (University of Pennsylvania) |
URL: | |
Societies socialize children about sex. This is done in the presence of peer-group effects, which may encourage undesirable behavior. Parents want the best for their children. Still, they weigh the marginal gains from socializing their children against its costs. Churches and states may stigmatize sex, both because of a concern about the welfare of their fl‡ocks and the need to control the cost of charity associated with out-of-wedlock births. Modern contraceptives have profoundly affected the calculus for instilling sexual mores. As contraception has improved there is less need for parents, churches and states to inculcate sexual mores. Technology affects culture. | |
Date: | 2011-10 |
By: | Cruces, Guillermo (CEDLAS-UNLP) |
URL: | |
This study investigates the impact of recent crises in Argentina (including the severe downturn of 2001-2002) on health and education outcomes. The identification strategy relies on both the inter-temporal and the cross-provincial co-variation between changes in regional GDP and outcomes by province. These results indicate significant and substantial effects of aggregate fluctuations on maternal and infant mortality and low birth weight, with countercyclical though not significant patterns for enrollment rates. Finally, provincial public expenditures on health and education are correlated with the incidence of low birth weight and school enrollment for teenagers, with worsening results associated with GDP declines. | |
Keywords: | crisis, infant mortality, maternal mortality, low birth weight, poverty, Argentina |
Date: | 2011-01-14 |
By: | Roberto Burguet |
URL: | |
The Millennium Declaration (2000) set as one of its targets a substantial reduction in child mortality. This paper studies whether the massive increase in development aid can account for part of the reduction in child mortality observed in developing countries since the year 2000. To do so, we analyze a panel of more than 130 developing countries over the 2000-2008 period. We use the time trend evolution of aid to identify an exogenous source of variation. Total aid has had no statistically significant effect on child mortality. However, a disaggregate analysis identifies certain sectors of aid that have had a significant impact. The effects have been larger in high mortality countries, including Sub-Saharan Africa. Projections based on our estimates strongly support the concern that most countries in that region will miss the Millennium Goals target on child mortality. | |
Keywords: | ODA, child mortality, aid effectiveness. |
JEL: | O11 |
Date: | 2011-11 |
By: | Pearson, Matthew (University of CA, Davis) |
URL: | |
In an experiment using two-bidder first-price sealed bid auctions with symmetric independent private values and 400 participants, we collected information on the female participants' menstrual cycles and the use of hormonal contraceptives. We find that naturally cycling women bid significantly higher than men and earn significantly lower profits than men except during the midcycle when fecundity is highest. We suggest an evolutionary hypothesis according to which women are predisposed by hormones to generally behave more riskily during their fecund phase of their menstrual cycle in order to increase the probability of conception, quality of offspring, and genetic variety. We also find that women on hormonal contraceptives bid significantly higher and earn substantially lower profits than men. This may be due to progestins contained in hormonal contraceptives or a selection effect. We discuss how our study differs from Chen, Katus | |
JEL: | C72 |
Date: | 2011-10 |
By: | Marchiori, Luca (Central Bank of Luxembourg) |
URL: | |
This paper contributes to the already vast literature on demography-induced international capital flows by examining the role of labor market imperfections and institutions. We setup a two-country overlapping generations model with search unemployment, which we calibrate on EU15 and US data. Labor market imperfections are found to significantly increase the volume of capital flows, because of stronger employment adjustments in comparison with a competitive economy. We next exploit the model to investigate how demographic asymmetries may have contributed to unemployment and welfare changes in the recent past (1950-2010). We show that a policy reform in one country also has an impact on labor markets in other countries when capital is mobile. | |
Keywords: | demographics, capital flows, overlapping generations, general equilibrium, unemployment |
JEL: | J11 |
Date: | 2011-11 |
By: | Olivier Marie |
URL: | |
We analyze the employment effect of a law that provides for a 36 percent increase in the generosity of disability insurance (DI) for claimants who are, as a result of their lack of skills and of the labour market conditions they face, deemed unlikely to find a job. The selection process for treatment is therefore conditional on having a low probability of employment, making evaluation of its effect intrinsically difficult. We exploit the fact that the benefit increase is only available to individuals aged 55 or older, estimating its impact using a regression discontinuity approach. Our first results indicate a large drop in employment for disabled individuals who receive the increase in the benefit. Testing for the linearity of covariates around the eligibility age threshold reveals that the age at which individuals start claiming DI is not continuous: the benefit increase appears to accelerate the entry rate of individuals aged | |
Keywords: | Disability insurance, labour market participation, income effect, regression discontinuity |
JEL: | J14 |
Date: | 2011-11-11 |
By: | Andersson, Lina (Linnaeus University) |
URL: | |
We investigate the importance of ethnic origin and local labour markets conditions for self-employment propensities in Sweden. In line with previous research we find differences in the self-employment rate between different immigrant groups as well as between different immigrant cohorts. We use a multilevel regression approach in order to quantify the role of ethnic background, point of time for immigration and local market conditions in order to further understand differences in self-employment rates between different ethnic groups. We arrive at the following: The self-employment decision is to a major extent guided by factors unobservable in register data. Such factors might be i.e. individual entrepreneurial ability and access to financial capital. The individual’s ethnic background and point of time for immigration play a smaller role for the self-employment decision but are more important than local labour market condition | |
Keywords: | Self-employment; immigrant background; local labour market |
JEL: | J15 |
Date: | 2011-11 |
By: | Ejaz Ghani |
URL: | |
We analyze the spatial determinants of female entrepreneurship in India in the manufacturing and services sectors. We focus on the presence of incumbent female-owned businesses and their role in promoting higher subsequent female entrepreneurship relative to male entrepreneurship. We find evidence of agglomeration economies in both sectors, where higher female ownership among incumbent businesses within a district-industry predicts a greater share of subsequent entrepreneurs will be female. Moreover, higher female ownership of local businesses in related industries (e.g., those sharing similar labor needs, industries related via input-output markets) predict greater relative female entry rates even after controlling for the focal district-industry’s conditions. The core patterns hold when using local industrial conditions in 1994 to instrument for incumbent conditions in 2000-2005. The results highlight that the traits of busin | |
JEL: | J16 |
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