On the heterogeneous effects of tax policy on labor market outcomes

2021 ◽  
Author(s):  
Wifag Adnan ◽  
Kerim Peren Arin ◽  
Aysegul Corakci ◽  
Nicola Spagnolo
2017 ◽  
Vol 38 (3) ◽  
pp. 338-353 ◽  
Author(s):  
Muhammad Asali

Purpose The purpose of this paper is to study the effects of different types of immigrants on the labor market outcomes of different native groups. Design/methodology/approach The study uses a quasi-experimental approach, utilizing the border closures policy as well as political instability and economic conditions in the major countries of origin as exogenous sources of variation in the number of immigrants, to measure the effect of an immigrant-induced labor supply shock of each immigrant type (Palestinians and foreign guest workers) on the wage and employment of native workers (Israeli Arabs and Israeli Jews). Findings The effects of immigrants on local labor market outcomes vary with their origin. The different native groups, moreover, are affected differently by each type of immigrants. Specifically, a foreign-worker-induced increase in the labor supply negatively affects only the least-skilled Jewish workers. In contrast, a 10 percent Palestinian-induced increase in the labor supply increases the wage of Israeli Arabs by 3.4 percent, suggesting a net complementarity effect. Short-term slight employment adjustments occur at the intensive rather than the extensive margin. Originality/value The paper studies heterogeneous effects of immigrants by their type; also it studies heterogeneous effects experienced by different native groups. This paper informs the policy discussion about immigration and its effects on native workers.


2020 ◽  
Vol 10 (1) ◽  
Author(s):  
Enes Işık ◽  
Özgür Orhangazi ◽  
Hasan Tekgüç

AbstractWe assess the effects of a sharp minimum wage increase on wages, informality, and employment in Turkey, a large developing economy with one of the highest minimum wage-to-average wage ratios among OECD countries and widespread discrepancies between labor market outcomes of women and of men. We look at the quasi-experimental 2016 minimum wage increase and pay attention to identifying information coming from demographic groups. We find that the increase in the minimum wage had an economically substantial and statistically significant positive impact on wages. Despite the positive wage effects of the increase, we find no negative employment effects. However, we show that the minimum wage increase may have caused an increase in the share of informal employment among workers with less than tertiary education, especially for such workers working for small firms.


Author(s):  
Carla Calero ◽  
Veronica Gonzales ◽  
Yuri Soares ◽  
Jochen Kluve ◽  
Carlos Henrique Leite Corseuil

Author(s):  
Anda David ◽  
Mohamed Ali Marouani

This chapter focuses on the external effects of emigration on non-migrants, and particularly on the interactions with labor market outcomes in Tunisia before and after the revolution. Using the new Tunisia Labor Market Panel Survey (TLMPS), we conduct an in-depth analysis of the structure and dynamics of migration, including the profile of migrants and their origin households, mainly in terms of skills and spatial composition. We investigate transition matrices, employment status, income for current migrants and returnees, and the evolution of remittances. Our analysis confirms the role of emigration as a safety valve for the Tunisian labor market. Moreover, origin households of migrants have a significantly higher wealth index. Our analysis also tends to confirm the effects of remittances on labor supply of non-migrants, which can have a negative impact on Tunisia’s unemployment rate when a crisis in destination countries affects the remittance rate negatively.


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