Labor Market Mismatch and Labor Productivity: Evidence from PIAAC Data

2017 ◽  
pp. 199-241 ◽  
Author(s):  
Müge Adalet McGowan ◽  
Dan Andrews
Keyword(s):  
Labor Market ◽  
Labor Productivity

scholarly journals The Effects of Factors of Production Shocks on Labor Productivity: New Evidence Using Panel VAR Analysis

2020 ◽  
Vol 12 (20) ◽  
pp. 8710
Author(s):  
Nurliyana Mohd Basri ◽  
Zulkefly Abdul Karim ◽  
Noorasiah Sulaiman
Keyword(s):  
Human Capital ◽  
Labor Market ◽  
Labor Productivity ◽  
Manufacturing Industry ◽  
Impulse Response Function ◽  
Capital Intensity ◽  
Panel Var ◽  
Minor Effect ◽  
The Status ◽  
Panel Vector Autoregression

Labor productivity has an essential role in creating a more sustainable labor market platform, leading to better economic sustainability. However, the sluggish growth in labor productivity in Malaysia could hinder the vision in realizing the status of a high-income nation in the future. Thus, understanding how production shocks affect labor productivity sustainability is crucial for firms in managing their inputs (resources). This paper aims to elucidate how shocks in wage, capital intensity, and human capital may affect the dynamic of labor productivity in the Malaysian manufacturing industry. The study further explains the magnitude of this impact on labor productivity. This study employs the panel vector autoregression (PVAR) model in analyzing the propagation of the shocks through the impulse response function and variance decomposition. The main findings reveal that shocks in production factors have a positive and significant transitional impact on productivity and the cumulative effects are positive over time. The economic impact of wage shock is material, whereas capital intensity shock is moderate and only exerts a minor effect on labor productivity emanating from human capital shock. These findings provide further insights into assisting policymakers in amplifying the current labor market policy for sustainable economic growth.

scholarly journals Aggregate implications of occupational inheritance in China and India

2018 ◽  
Vol 19 (1) ◽  
Author(s):  
Ting Ji
Keyword(s):  
Human Capital ◽  
Labor Market ◽  
Labor Productivity ◽  
Occupational Choice ◽  
Choice Model ◽  
Growth Potential ◽  
China And India ◽  
Productivity Gain ◽  
The Us ◽  
Occupational Inheritance

Abstract This paper documents occupational inheritance – that is, children’s inheritance of their parents’ occupations – in China, India, and other countries. Among the causes of the prevalence of occupational inheritance, we target two broad categories that impede growth: labor market frictions and barriers to human capital acquisition. Counterfactual experiments based on a tractable occupational choice model suggest that if the impediments mentioned above were reduced to the US levels, labor productivity would grow by 60–75% in China and 107–178% in India. China realized 74–89% of this growth potential from the 1980s to 2009. In addition, this productivity gain is accompanied by a decrease in the correlation of intergenerational incomes.

scholarly journals DIFFERENTIATION OF LABOR PRODUCTIVITY LEVEL AND WAGES AS A BASIS FOR CHANGES IN LABOR MARKET

2019 ◽  
Vol 20 (2) ◽  
pp. 345-357
Author(s):  
Alfiya Kuznetsova ◽  
Almir Askarov ◽  
Rasul Gusmanov ◽  
Aigul Askarova ◽  
Paula Pypłacz
Keyword(s):  
Labor Market ◽  
Labor Productivity ◽  
Productivity Level

Labor demographics and productivity: all-star roster turnover and foreigners

2020 ◽  
Vol 48 (1) ◽  
pp. 243-254
Author(s):  
Martin B. Schmidt
Keyword(s):  
Labor Market ◽  
Labor Productivity ◽  
Design Methodology ◽  
Close Association ◽  
Professional Sports ◽  
Turnover Rates ◽  
Content Type ◽  
The Past ◽  
Labor Pool ◽  
Productivity Differential

PurposeTalent compression is the labor market phenomenon where the average productivity differential between participants declines and has been used to explain the overall increase in competition within some professional sports markets. A finding that competitiveness is uniquely driven by talent compression is consistent with Rottenberg (1956), who argued that resource distribution is independent of factors that are invariant to labor productivity.Design/methodology/approachRather than incorporate MLB team roster turnover as many of the past studies have done, we prefer to measure of all-star turnover in membership. Problematically, movement from an MLB team to an MLB team is limited by rule, finances and the fact that there are very few teams competing for player services. In contrast, All-Star membership is typically costlessly chosen by many millions of fans, league players and managers. In this way, All-Star voting should be invariant to many of the factors that affect movement from an MLB team to an MLB team.FindingsIn the end, we find that a close association between all-star turnover rates and the makeup of MLB’s labor pool.Originality/valueThe paper offers a new measure of player mobility.

Economic Growth, Labor Market Segmentation, and Labor Productivity

2020 ◽  
pp. 225-249
Author(s):  
Tulus T. H. Tambunan
Keyword(s):  
Economic Growth ◽  
Labor Market ◽  
Labor Productivity ◽  
Market Segmentation ◽  
Asian Financial Crisis ◽  
Total Employment ◽  
Market Policy ◽  
Labor Market Segmentation ◽  
Total Labor ◽  
Macroeconomic Management

This chapter examines economic growth, labor market segmentation, informal employment, and labor productivity in Indonesia from 1990-2015. It shows four important facts. First, Indonesia was ever among countries in Southeast Asia with the highest economic growth before the country was severely hit by the Asian financial crisis in 1997/98. In 1999, the country started to recover, and since then, the economy has performed exceptionally well until these days. Second, total employment increased continuously, although as a percentage of total labor force, it tends to decline. Second, total labor productivity also continued to increase. Third, employment is still dominated by the informal sector. This chapter also discusses labor market policy in Indonesia. This chapter concludes that there are many factors that simultaneously determine directly or indirectly the growth of labor productivity, including good macroeconomic management and effective labor market policies.

The Impact of Incentive Compensation on Labor Productivity in Family and Nonfamily Firms

2017 ◽  
Vol 30 (2) ◽  
pp. 119-136 ◽  
Author(s):  
James J. Chrisman ◽  
Srikant Devaraj ◽  
Pankaj C. Patel
Keyword(s):  
Labor Market ◽  
Human Resource ◽  
Adverse Selection ◽  
Labor Productivity ◽  
Family Firms ◽  
Incentive Compensation ◽  
Selection Problems ◽  
The Family ◽  
Matched Data ◽  
The Impact

Family and nonfamily firms both must align owner and employee interests. However, family firms may experience lower labor productivity because of adverse selection problems from labor market sorting and attenuation. Incentive compensation reduces alignment of interest problems in family and nonfamily firms. Importantly, incentive compensation signals to potential employees that performance will be rewarded, which should improve the relative labor productivity in family firms by reducing adverse selection. Analysis of matched data on 216,768 firms supports our hypotheses, implying that incentive compensation has a broader impact on firm performance than commonly recognized in the family firm or human resource literatures.

scholarly journals GHG Emissions Mitigation in the European Union Based on Labor Market Changes

Energies ◽  
2021 ◽  
Vol 14 (2) ◽  
pp. 465
Author(s):  
Mihaela Simionescu ◽  
Yuriy Bilan ◽  
Piotr Zawadzki ◽  
Adam Wojciechowski ◽  
Marcin Rabe
Keyword(s):  
Labor Market ◽  
Labor Productivity ◽  
Ghg Emissions ◽  
Developed Countries ◽  
Working Time ◽  
Actual Problem ◽  
Member States ◽  
Emissions Mitigation ◽  
The Impact ◽  
The Eu

The effects of the labor market on environmental issues are an actual problem at the global level, and recommendations are required to achieve equilibrium between labor productivity and environmental protection. Considering the ecological limits of work and the necessity of reducing the working time to mitigate GHG (greenhouse gas) emissions, this paper aims to assess the impact of the labor market on GHG emissions in the EU-28 countries. Using panel data models for 2007–2019, a positive effect of working time for employed persons on GHG emissions was detected. Labor productivity has a positive impact on emissions for most of the developed countries in the EU (old member states), while the effect is negative in the case of most of the new member states, which suggests that more efforts should be made by old member states to correlate labor productivity with a sustainable level of GHG emissions. As a novelty for research in the field, we assessed also the effect of targeted labor utilization on GHG emissions in order to describe the context of a sustainable economy that is an objective for each country in the EU. These results suggest that progress in GHG emissions mitigation might be achieved by reducing the working time for employed persons, which will also improve well-being. These recommendations could be useful also for other developed countries outside the EU that encounter the same difficulties.

Possibilities of adaptation in the Russian Federation of effective instruments for the implementation of government programs of developed countries (on the example of the Federal project «Supporting employment and increasing the efficiency of the labor market to ensure growth of labor productivity»)

2021 ◽  
pp. 34-41
Author(s):  
N.L. Krasyukova ◽  
O.V. Panina
Keyword(s):  
Labor Market ◽  
Project Management ◽  
Best Practices ◽  
Labor Productivity ◽  
Russian Federation ◽  
Developed Countries ◽  
Government Programs ◽  
State Program ◽  
The Russian Federation ◽  
Program And Project Management

The article discusses the best practices of using effective tools for the implementation of government programs of developed countries and the possibility of their application in the Russian system of state program and project management.

The impact of training on productivity and wages in Tunisia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Naouel Ben Jemaa Cherif
Keyword(s):  
Labor Market ◽  
Panel Data ◽  
Labor Markets ◽  
Developing Country ◽  
Labor Productivity ◽  
Design Methodology ◽  
Wage Structure ◽  
Content Type ◽  
Returns To Training ◽  
The Impact

PurposeThe purpose of this paper is to investigate the impact of training on labor productivity and wages in order to examine how the benefits from training are shared between employers and employees.Design/methodology/approachThis study analyzes an industry panel covering all sectors of the Tunisian economy for the period 2000–2014. The panel structure of the data allows controlling for the endogeneity of training by using different panel data techniques.FindingsResults show that both employers and workers benefit from training since it has a positive and significant effect on productivity and wages. However, the effect of training on productivity is substantially higher than on wages, suggesting that employers obtain the largest part of the returns to training. This result is consistent with theories that explain firm-sponsored training by a compressed wage structure in imperfect labor markets.Originality/valueThis study, particularly showcasing the labor market in Tunisia, is one of the first to provide estimates for a developing country to assess the effects of training for both employer and employee. It is also among the few empirical works that analyzed the impact of training on labor productivity and wages simultaneously.

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