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Archive for the ‘Institute for the Study of Labor’ Category

Who Cares – and Does It Matter? Measuring Wage Penalties for Caring Work

September 22, 2014 Comments off

Who Cares – and Does It Matter? Measuring Wage Penalties for Caring Work (PDF)
Source: Institute for the Study of Labor

Economists and sociologists have proposed arguments for why there can exist wage penalties for work involving helping and caring for others, penalties borne disproportionately by women. Evidence on wage penalties is neither abundant nor compelling. We examine wage differentials associated with caring jobs using multiple years of Current Population Survey (CPS) earnings files matched to O*NET job descriptors that provide continuous measures of ‘assisting and caring’ and ‘concern’ for others across all occupations. This approach differs from prior studies that assume occupations either do or do not require a high level of caring. Cross-section and longitudinal analyses are used to examine wage differences associated with the level of caring, conditioned on worker, location, and job attributes. Wage level estimates suggest substantive caring penalties, particularly among men. Longitudinal estimates based on wage changes among job switchers indicate smaller wage penalties, our preferred estimate being a 2 percent wage penalty resulting from a one standard deviation increase in our caring index. We find little difference in caring wage gaps across the earnings distribution. Measuring mean levels of caring across the U.S. labor market over nearly thirty years, we find a steady upward trend, but overall changes are small and there is no evidence of convergence between women and men.

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The Math Gender Gap: The Role of Culture

September 17, 2014 Comments off

The Math Gender Gap: The Role of Culture (PDF)
Source: Institute for the Study of Labor

This paper explores the role of cultural attitudes towards women in determining math educational gender gaps using the epidemiological approach. To identify whether culture matters, we estimate whether the math gender gap for each immigrant group living in a particular host country (and exposed to the same host country’s laws and institutions) is explained by measures of gender equality in the parents’ country of ancestry. We find that the higher the degree of gender equality in the country of ancestry, the higher the performance of second-generation immigrant girls relative to boys. This result is robust to alternative specifications, measures of gender equality and the inclusion of other human development indicators in the country of ancestry. The transmission of culture is higher among those in schools with a higher proportion of immigrants or in co-educational schools. Our results suggest that policies aimed at changing beliefs can prove effective in reducing the gender gap in mathematics.

Introduction to A Theory of the Allocation of Time by Gary Becker

September 17, 2014 Comments off

Introduction to A Theory of the Allocation of Time by Gary Becker (PDF)
Source: Institute for the Study of Labor

Gary Becker’s classic study, A Theory of the Allocation of Time, laid the analytical foundations for the study of household production and the allocation of time within the household. The analytical framework of household production theory developed in this paper remained a pillar of his later work on the economics of the family and the economics of nonmarket activities more generally. Becker provided a formal model of households producing outputs like food, children, and housing that bundled goods and time. Becker’s great contribution was to apply the model to interpret a broad array of empirical phenomena. Becker’s framework allowed for a deeper understanding of the mechanisms of consumer choice, and interpretation of income and substitution effects. Its continuing relevance in empirical economics is a testimony to its power.

Long Workweeks and Strange Hours

September 8, 2014 Comments off

Long Workweeks and Strange Hours (PDF)
Source: Institute for the Study of Labor

American workweeks are long compared to other rich countries’. Much less well-known is that Americans are more likely to work at night and on weekends. We examine the relationship between these two phenomena using the American Time Use Survey and time-diary data from 5 other countries. Adjusting for demographic differences, Americans’ incidence of night and weekend work would drop by about 10 percent if European workweeks prevailed. Even if no Americans worked long hours, the incidence of unusual work times in the U.S. would far exceed those in continental Europe.

How do people with disabilities cope while waiting for disability insurance benefits?

September 8, 2014 Comments off

How do people with disabilities cope while waiting for disability insurance benefits? (PDF)
Source: Institute for the Study of Labor (Journal)

Disability Insurance waiting time varies from a few months to several years. We estimate the causal effect of longer waiting times on the use of five financial coping strategies. We find that SNAP benefits are the most responsive to longer waiting times. Moreover, while spousal employment is not responsive to longer wait times, spousal employment leads to longer waiting times, presumably because these applicants are more able to appeal. Together, these results suggest that coping strategies are used to both help applicants during the wait time and to extend the waiting time and increase their probability of success.

Does Federally-Funded Job Training Work? Nonexperimental Estimates of WIA Training Impacts Using Longitudinal Data on Workers and Firms

September 8, 2014 Comments off

Does Federally-Funded Job Training Work? Nonexperimental Estimates of WIA Training Impacts Using Longitudinal Data on Workers and Firms (PDF)
Source: Institute for the Study of Labor

We study the job training provided under the US Workforce Investment Act (WIA) to adults and dislocated workers in two states. Our substantive contributions center on impacts estimated non-experimentally using administrative data. These impacts compare WIA participants who do and do not receive training. In addition to the usual impacts on earnings and employment, we link our state data to the Longitudinal Employer Household Dynamics (LEHD) data at the U.S. Census Bureau, which allows us to estimate impacts on the characteristics of the firms at which participants find employment. We find moderate positive impacts on employment, earnings and desirable firm characteristics for adults, but not for dislocated workers. Our primary methodological contribution consists of assessing the value of the additional conditioning information provided by the LEHD relative to the data available in state Unemployment Insurance (UI) earnings records. We find that value to be zero.

See: $3 Billion Job Training Program Can Lead to Debt instead of Work (AllGov.com)

How Far Away Is a Single European Labor Market?

September 2, 2014 Comments off

How Far Away Is a Single European Labor Market? (PDF)
Source: Institute for the Study of Labor

A Single European Labor Market, particularly involving the free movement of workers within Europe, has been a goal of the European community since the 1950s. Whereas it may entail opportunities and drawbacks alike, the benefits – such as greater economic welfare for most citizens – are supposed to outweigh the losses. However, over fifty years after the aim was first established, a Single European Labor Market has not yet been achieved. This paper gives an overview of current European macroeconomic trends, with a particular focus on the Great Recession, and also explores the drivers of and obstacles to labor mobility. Complementarily, it analyzes the results of a unique opinion survey among labor market experts, as well as formulates policy recommendations to enhance mobility. The development of a Single European Labor Market is also discussed in relation to the German model.

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