scholarly journals Cross-Cutting Themes in Employment Experiences During the Crisis

Policy Papers ◽  
2010 ◽  
Vol 2010 (67) ◽  
Author(s):  
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Market Institutions ◽  
Labor Movements ◽  
Market Outcomes ◽  
Policy Responses ◽  
Dual Labor Markets ◽  
Wide Range ◽  
Permanent Shocks ◽  
Human Cost

The human cost of the recent global crisis is reflected in its impact on the labor market. Explaining why economies with similar downturns had very different employment trends can help design policies to reduce such costs and improve labor markets. This paper analyzes the recent employment experiences of six economies: Germany, Korea, Mexico, New Zealand, Spain, and Sweden. These economies represent a wide range of labor market institutions, policy responses, and outcomes to the crisis. The divergence of labor market outcomes and of the effectiveness of policies during the crisis can be explained by the interaction between the nature of the shocks and differences in the structure and institutions of each country’s economy. The worst job losses compared to the drop in output followed permanent shocks, particularly in dual labor markets and in the presence of wage rigidities. Policies to avoid job cuts were much more effective when they were well-targeted and responded to temporary shocks. In contrast, policies to facilitate labor movements were more appropriate following permanent shocks.

scholarly journals Labor Market Institutions in the Gilded Age of American Economic History

2018 ◽  
pp. 328-354 ◽  
Author(s):  
Suresh Naidu ◽  
Noam Yuchtman
Keyword(s):  
Nineteenth Century ◽  
Labor Market ◽  
Labor Markets ◽  
Economic History ◽  
Active Role ◽  
Labor Market Institutions ◽  
Late Nineteenth Century ◽  
Market Institutions ◽  
Market Outcomes ◽  
Wage Premia

This chapter argues that although nineteenth-century labor markets were unencumbered by regulatory legislation, there existed frictions and rents in the labor market; moreover, labor market institutions other than legislation played an active role in determining labor market outcomes. The chapter provides evidence of frictions and firm-specific rents in nineteenth-century urban American labor markets: when firms experienced positive output price shocks, their employees earned wage premia relative to other employees with similar skills in the same labor market. The existence of rents in the labor contract suggests a role for bargaining and conflict between employees and employers. Workers in the late nineteenth century went on strike to increase wages. This chapter presents data on the frequency of strikes in the nineteenth century and suggestive evidence of an association between strikes and wages; finally, it documents the rise of judicial labor injunctions aimed at suppressing strikes.

scholarly journals Immigration and economic mobility

2021 ◽  
Author(s):  
Maria F. Hoen ◽  
Simen Markussen ◽  
Knut Røed
Keyword(s):  
Labor Market ◽  
Low Income ◽  
Labor Market Outcomes ◽  
Lower Class ◽  
Low Income Countries ◽  
Market Outcomes ◽  
Wide Range ◽  
Class Background ◽  
The Rich ◽  
Relative Prime

AbstractWe examine how immigration affects natives’ relative prime-age labor market outcomes by economic class background, with class background established on the basis of parents’ earnings rank. Exploiting alternative sources of variation in immigration patterns across time and space, we find that immigration from low-income countries reduces intergenerational mobility and thus steepens the social gradient in natives’ labor market outcomes, whereas immigration from high-income countries levels it. These findings are robust with respect to a wide range of identifying assumptions. The analysis is based on high-quality population-wide administrative data from Norway, which is one of the rich-world countries with the most rapid rise in the immigrant population share over the past two decades. Our findings suggest that immigration can explain a considerable part of the observed relative decline in economic performance among natives with a lower-class background.

scholarly journals Statistical Reporting in Vocational Education: Review and Ways of Improving

2017 ◽  
pp. 58-69
Author(s):  
М. V. Lesnikova
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Statistical Data ◽  
Technical Education ◽  
Statistical Information ◽  
The Body ◽  
National Accounts ◽  
High Quality ◽  
Wide Range ◽  
Statistical Indicators

Labor potential for the Ukrainian economy cannot be formed without professional training of staff. The system for professional technical education (PTE) consists of professional technical institutions in an industry, other enterprises, institutions, organizations, and education or supervisory offices charged with the administration of the former. The studies demonstrate that the existing PTE network in Ukraine is ineffective and distanced from the needs of regional economies in terms of their demography problems and needs of their labor markets. The abovementioned raises the importance of the issues of access to high quality and complete statistical information, incorporating a wide range of statistical indicators, first and foremost the ones on labor market performance, enabling for effective decision-making. The author’s review of the respective statistical reports shows that the existing statistical indicators form three linked modules (labor market, formation of PTE system, national accounts of education), containing quantitative data on network, enrolment, teaching personnel, material-technical and methodological provision of professional technical education institutions, PTE financing. Sufficiency of the existing statistical information is assessed by use of multi-step typology by the technology based on the statistics of non-numeric data. The data obtained from users and makers of PTE system in time of Turin process in 2016 show that the existing statistical reports fails to meet information needs of labor markets in high quality statistical data. According to the respondents, the main barrier is unstable economic situation; more than one quarter of the respondents (27%) mention irrelevance of the body supervising the collection of statistical data, and lack of advanced methodologies and methods for recording of jobs. A pressing problem is related with overlooking the scopes of shadow jobs and reluctance of a major part of employers to inform the development plans of their enterprises. Measures to improve the existing statistical reporting on PTE are as follows: introduce the questionnaire-based interviews of employers, to calculate the number of graduates kept on jobs, by specialty; considering large number of small enterprises and private enterprises, improve the existing method for collection and processing of bid data; construct a standard method for calculating the rate of graduates’ job placement using the shadow economy ratio; create an integrated information and analytical system for PTE; calculate the rate of apprenticeship passed, by specialty, ours of apprenticeship, and location of apprenticeship; introduce the monitoring-based assessment of PTE quality; develop the method for balancing the scopes of professional technical staff trained in education institutions and labor market needs.

Immigration and Labor Market Outcomes in U.S. Metropolitan Areas

2019 ◽  
Vol 63 (4) ◽  
pp. 630-652
Author(s):  
Allen Hyde ◽  
Michael Wallace
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Market Outcomes ◽  
Economic Restructuring ◽  
The United States ◽  
Earnings Inequality ◽  
Demand Side ◽  
Least Squares Regression ◽  
Market Outcomes ◽  
The Relationship

Two broad orientations have motivated scholarship on the relationship between immigration and labor market outcomes in the United States. The first, the supply-side perspective, often focuses on how immigration affects a variety of outcomes such as unemployment, casualization, and earnings inequality. The second, the demand-side perspective, generally contends that these labor market outcomes result mainly from economic restructuring that subsequently attracts immigrants to labor markets. Previous studies have often reached divergent conclusions due to differing assumptions about the direction of causality in these relationships. In this paper, we use three-stage least squares regression, a technique that allows for nonrecursive relationships, to adjudicate the direction of causality between immigration and labor market outcomes. Using 2010 data for 366 U.S. metropolitan statistical areas, we find support for the demand-side perspective, or that economic restructuring results in higher unemployment, casualization, and earnings inequality, which subsequently increases levels of immigration in metropolitan labor markets.

RETHINKING OPTIMAL EXCHANGE RATE REGIMES WITH FRICTIONAL LABOR MARKETS

2014 ◽  
Vol 19 (5) ◽  
pp. 1116-1147 ◽  
Author(s):  
Alessia Campolmi ◽  
Ester Faia
Keyword(s):  
Exchange Rate ◽  
Labor Market ◽  
Labor Markets ◽  
Exchange Rate Regimes ◽  
Optimal Choice ◽  
Labor Market Institutions ◽  
Labor Costs ◽  
Exchange Rate Dynamics ◽  
Labor Market Dynamics ◽  
Frictional Labor Markets

Currency fluctuations are an important determinant of labor market dynamics. Vice versa, relative labor costs affect real exchange rate dynamics. The optimal choice of exchange rate regimes cannot neglect this nexus. We assess such a choice using a two-country model with frictional labor markets. The monetary authority faces a tension between the classical insulating property of floating exchange rates and the destabilizing effects of currency fluctuations on (relative) job flows. Results show that the second motive is important: optimal monetary policy prescribes (some) response to the exchange rate. We also reexamine the conditions for optimal policy in a currency area whose members experience asymmetries in labor market institutions.

scholarly journals Unemployment in an Interdependent World

2013 ◽  
Vol 5 (1) ◽  
pp. 262-301 ◽  
Author(s):  
Gabriel J Felbermayr ◽  
Mario Larch ◽  
Wolfgang Lechthaler
Keyword(s):  
Labor Market ◽  
Labor Market Outcomes ◽  
Relative Size ◽  
Labor Market Institutions ◽  
Unemployment Benefits ◽  
Real Wages ◽  
Market Outcomes ◽  
Trade Model ◽  
Theoretical Predictions ◽  
Set Up

How do changes in labor market institutions, like more generous unemployment benefits in one country, affect labor market outcomes in other countries? We set up a two-country Armingtonian trade model with frictions on the goods and labor markets. Contrary to the literature, higher labor market frictions increase unemployment at home and abroad. The strength of the spillover depends on the relative size of countries and on trade costs. It is exacerbated when real wages are rigid. Using panel data for 20 rich OECD countries, and controlling for institutions as well as for business cycle comovement, we confirm our theoretical predictions. (JEL E24, F16, J64, J65)

Political Parties and Labor-Market Outcomes: Evidence from US States

2015 ◽  
Vol 7 (4) ◽  
pp. 198-220 ◽  
Author(s):  
Louis-Philippe Beland
Keyword(s):  
Labor Market ◽  
Political Parties ◽  
Labor Market Outcomes ◽  
Regression Discontinuity Design ◽  
Market Outcomes ◽  
Black And White ◽  
Wide Range ◽  
Earnings Gap ◽  
Causal Impact ◽  
White Workers

This paper estimates the causal impact of the party allegiance (Republican or Democratic) of US governors on labor-market outcomes. I match gubernatorial elections with March Current Population Survey (CPS) data for income years 1977 to 2008. Using a regression discontinuity design, I find that Democratic governors cause an increase in the annual hours worked by blacks relative to whites, which leads to a reduction in the racial earnings gap between black and white workers. The results are consistent and robust to using a wide range of models, controls, and specifications. (JEL D72, J15, J22, J31, R23)

Dual Labor Markets Revisited

2020 ◽  
Author(s):  
Samuel Bentolila ◽  
Juan J. Dolado ◽  
Juan F. Jimeno
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Employment Protection ◽  
Theoretical Research ◽  
Market Effects ◽  
The Great Recession ◽  
Reform Strategies ◽  
Dual Labor Markets ◽  
Dead End ◽  
Protection Legislation

This article provides an overview of empirical and theoretical research on dual labor markets. It revisits the labor-market effects of dual employment protection legislation as well as the main factors behind its resilience. Characterized by a high incidence of temporary contracts, which may lead to stepping-stone or dead-end jobs, dual labor markets exhibit specific features regarding the determination of employment, unemployment, churn, training, productivity growth, wages, and labor market flows. Relying on the contrasting experiences of several OECD countries with different degrees of duality and, in particular, on the very poor employment performance of some EU countries during the Great Recession, lessons are drawn about policy-reform strategies aiming to correct the inefficiencies of dual labor markets.

Skill Shortages, Skill Gaps, and Labor Demand

2021 ◽  
pp. 71-106
Author(s):  
Michael J. Camasso ◽  
Radha Jagannathan
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Demand ◽  
Value Added ◽  
Labor Market Institutions ◽  
Skill Sets ◽  
Government Interventions ◽  
Goods And Services ◽  
Skill Gaps ◽  
Active Labor Market Policies

The focus in this chapter is on the consequences of employers’ decisions and on labor market institutions that create flexible, rigid, or segmented labor markets. The authors profile how each of the focal countries maintains culturally distinctive production functions and how these approaches to the creation of goods and services impact employment and overall economic performance. The importance of a labor market designed around the production of value-added product for export is highlighted, as is the pressure it places on renewal of knowledge and skill sets and flexible labor markets. Failures of the labor market in the forms of unemployment, underemployment, and low labor force participation have resulted in a variety of government interventions or active labor market policies. The authors examine the effectiveness of a number of these policies, including subsidies paid to employees, minimum wages, and employment subsidies to private businesses and public sector jobs.

scholarly journals Do Labor Market Policies have Displacement Effects? Evidence from a Clustered Randomized Experiment *

2013 ◽  
Vol 128 (2) ◽  
pp. 531-580 ◽  
Author(s):  
Bruno Crépon ◽  
Esther Duflo ◽  
Marc Gurgand ◽  
Roland Rathelot ◽  
Philippe Zamora
Keyword(s):  
Labor Market ◽  
Labor Markets ◽  
Labor Market Outcomes ◽  
Job Placement ◽  
Randomized Experiment ◽  
Job Seekers ◽  
Market Outcomes ◽  
Labor Market Policies ◽  
Net Benefits ◽  
Displacement Effects

Abstract This article reports the results from a randomized experiment designed to evaluate the direct and indirect (displacement) impacts of job placement assistance on the labor market outcomes of young, educated job seekers in France. We use a two-step design. In the first step, the proportions of job seekers to be assigned to treatment (0%, 25%, 50%, 75%, or 100%) were randomly drawn for each of the 235 labor markets (e.g., cities) participating in the experiment. Then, in each labor market, eligible job seekers were randomly assigned to the treatment, following this proportion. After eight months, eligible, unemployed youths who were assigned to the program were significantly more likely to have found a stable job than those who were not. But these gains are transitory, and they appear to have come partly at the expense of eligible workers who did not benefit from the program, particularly in labor markets where they compete mainly with other educated workers, and in weak labor markets. Overall, the program seems to have had very little net benefits.

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