Unions and Unemployment Insurance Benefits Receipt: Evidence from the Current Population Survey

Using data from the January 1996 Current Population Survey's Displaced Worker Supplement, this article analyzes the effect of union representation on the likelihood that individuals eligible for unemployment insurance (UI) benefits receive UI benefits. For white-collar workers, unions do not have a significant effect on the probability of UI benefit receipt. Eligible blue-collar workers laid off from union jobs are approximately 23 percent more likely than comparable nonunion workers to receive UI benefits.     

Effects of Occupational Licensing and Unions on Labour Market Earnings in Canada

Using longitudinal data from the Canadian Survey of Labour and Income Dynamics from 1999 to 2011, the article compares the pay and benefits of licensed and unionized workers. In a cross section of respondents and using ordinary least squares estimates, it finds a pay premium of 0.155 log points for those with an occupational licence compared to those without one; the comparable union wage premium is slightly more than half, that is 0.085 log points. Fixed‐effects estimates go in the opposite direction (0.028 and 0.046 log points for licensing and unionization, respectively), suggesting the existence of unobservable factors correlated with licensing and union status. Unionized workers are more likely to access standard benefits, such as medical insurance and pension plans, but licensed workers benefit little from their licensing status in access to benefits. Finally, union workers are significantly less likely to receive incentive pay, such as profit sharing, while the association between occupational licensing and incentive pay is close to zero and statistically insignificant.     

The Effects of Occupational Licensing: Evidence from Business‐Level Data

Occupational licensing currently affects more than 1,000 occupations in the United States. I use confidential US Census Bureau business micro‐data to shed light on the effect of occupational licensing in cosmetology on key market outcomes and study its effect on the providers of occupational training. Occupational licensing regulation does not seem to affect the equilibrium number of practitioners or prices of services to consumers, but is associated with significantly lower practitioner entry and exit rates. I further find states with more stringent licensing requirements to have more instructors and a larger median size of training facilities, suggesting possible barriers to entry for the training schools. Instructors, however, do not earn more in such states.     

Edgeworth Price Cycles in Gasoline: Evidence from the United States

Studies of gasoline prices in multiple countries have found sequences of a sharp price increase followed by gradual decreases. This pattern is linked to Maskin and Tirole (Econometrica 56:571–599, 1988) duopoly pricing game and labeled Edgeworth price cycles. We examine data on average daily MSA-level retail gasoline prices for 350 MSAs in the US from 1996–2010. We confirm the finding of others and show that a relatively small number of US MSAs in contiguous upper Midwestern states evidence price cycling. However, our lengthy data set allows us to see that these MSAs began cycling in 2000. Thus, we can examine prices in cycling and non-cycling MSAs before and after cycling and find that prices are lower in MSAs that began cycling.     

English-Language Skills and the Earnings of Self-Employed Immigrants in the United States: A Note

Employing U.S. Census data, this study analyzes how English-language fluency affected the earnings of self-employed immigrant men in the 1980s. Our results suggest that English proficiency became a more important determinant of earnings for foreign-born entrepreneurs in 1990 compared with 1980, even while controlling for factors affecting selection into self-employment.     

Indicative and Updated Estimates of the Collective Bargaining Premium in Germany

This study provides updated evidence on the union contract differential in Germany using establishment‐wide wage data and two estimation strategies. It provides pairwise estimates of the union differential based on separate samples of collective bargaining leavers and joiners vis‐à‐vis the corresponding counterfactual groups. We report that average wages increase by 3 to 3.5 percent after entering into a collective agreement and decrease by 3 to 4 percent after abandoning a collective agreement. Excluding establishments that experience mass layoffs does not significantly influence these net findings, although such establishments record wage losses—statistically insignificant for joiners but up to 10 percent in the case of leavers, as compared with the counterfactuals. The backdrop to these new indicative estimates, which are properly conditioned on establishment size and industry affiliation, inter alia, is one of wage stagnation and continuing union decline.     

Down Payment Saving in the United States: Evidence from the Panel Study of Income Dynamics

We present a model of household saving toward a mortgage loan under an exogenous down payment requirement and preference for owning over renting. Our model explains a set of empirical observations such as the dual effect in the form of some households, in response to higher down payments, becoming discouraged savers while those who do not abandon purchasing plans save more. We also employ instrumental variable‐based methods to investigate the down payment saving behavior of first‐time home buyers in the United States. The empirical results based on Panel Study of Income Dynamics (PSID) data support the inelastic down payment elasticity of saving implied by our model.     

A Reexamination of Public-Sector Wage Differentials in the United States: Evidence from the NLSY with Geocode

While many researchers have sought to estimate federal-private wage differentials in the United States, most of them ignore the issues of unobserved heterogeneity and selectivity among sectors. This article seeks to fill the gap in previous literature by using a more appropriate data set and several compelling techniques. The main results suggest substantial bias in ordinary least squares (OLS) estimates of federal-private wage differentials due to individual heterogeneity and self-selection. The direction of bias under selectivity correction (upward for men and downward for women) is consistent with results from both test-score approach estimates and the fixed-effects estimates.     

Earnings Progression and the Workforce Investment Act: Evidence from Washington State

This research measures earnings progression among participants in federally funded Workforce Investment Act (WIA) programs in the state of Washington during the period 2001 through 2008, using state administrative data and propensity score‐weighted regressions. Unlike previous evaluations that have emphasized earnings levels, this study addresses both earnings progression and levels to assess whether workers are on a path to reaching economic self‐sufficiency within a short time after participation. The analysis finds that participants in WIA Adult services had similar earnings progression as people receiving only less‐intensive Labor Exchange services.     

The Structure of the Permanent Job Wage Premium: Evidence from Europe

Using individual longitudinal European Community Household Panel data for thirteen countries during 1995–2001 and fixed‐effects models, I find for men, the permanent job wage premium is higher for younger workers and those who were noncitizens or foreign born; for women, the premium is higher for young workers, short‐tenure workers, and those who were noncitizens or foreign born. Thus, the gain to permanent employment is higher for those with less experience in the domestic labor market.     

The Immigrant Earnings Disadvantage across the Earnings and Skills Distributions: The Case of Immigrants from the EU's New Member States

We analyse the earnings of immigrants from the EU's new member states (NMS) using a large‐scale dataset with information on employees in Ireland. We find that the average earnings difference between these immigrants and natives is between 10 and 18 per cent, depending on the controls used. However, the difference is found to be lower for people at the lower end of the earnings distribution. It is also generally lower for people at the lower end of the education distribution. We find mixed evidence on whether unions have an impact on the wages of immigrants from the NMS, although such immigrants appear to suffer a wage penalty as a result of being in firms that provided training to a significant proportion of their workforce.     

Current and Future Uses of the Computer: Industrial R&D in the United States

This study of 158 organizations sought to depict current uses of computers in R&D. A survey of senior R&D management by the Industrial Research Institute identifies a number of salient features. Routine computer use is becoming a characteristic of scientists, engineers, and managers. Yet characteristics of usage differ markedly by size of R&D unit and by line of business. Moreover, patterns of responses suggest on-going changes toward the time when R&D will be strongly coloured by the context of an integrated, intelligent computer environment. This implies new roles and skill requirements for R&D managers, professionals, and support staff.     

The Extent of Occupational Segregation in the United States: Differences by Race,Ethnicity, and Gender

This paper studies occupational segregation by ethnicity/race and gender by following a new approach that facilitates multigroup comparisons and econometric analyses to take into account group characteristics. The analysis shows that segregation is particularly intense in the Hispanic and Asian populations (the situation being more severe for the former given its higher concentration in low‐paid jobs). A distinctive characteristic of Hispanics is that segregation is higher for men than for women although females are more concentrated in low‐paid jobs. Segregation neither for women nor for African and Native Americans is reduced by taking human capital variables into account.     

Occupational Achievements of Same‐Sex Couples in the United States by Gender and Race

This article offers a framework that allows for the simultaneous comparison of all sexual orientation–gender–race/ethnicity groups after controlling for characteristics. The analysis suggests that occupations matter in explaining earnings differences among groups. The article also displays the high magnitude of the gender wage gap in an intersectional framework. The sexual orientation wage premium of lesbians is quite small for blacks and much higher for Hispanics and Asians than for whites. For men, departing from the white heterosexual model involves a substantial punishment; the racial penalty is larger for heterosexuals whereas the sexual orientation penalty is greater for whites.     

English‐Language Proficiency and Occupational Risk Among Hispanic Immigrant Men in the United States

We use data from the Census of Fatal Occupational Injuries, the Survey of Occupational Injuries and Illnesses, and the 2000 U.S. decennial census to analyze how occupational risk relates to the earnings of Hispanic immigrant men. Our findings indicate that those with limited English‐language fluency received significantly higher compensating wages in unsafe jobs than their English‐fluent counterparts. The larger occupational‐risk premiums accrued by limited‐English‐proficient (LEP) foreign‐born Hispanic men also hold when further including U.S.‐born Hispanic, non‐Hispanic Black, and non‐Hispanic White men in the sample. These findings are consistent with underlying differences in preferences toward wages versus safety between LEP and English‐proficient workers and/or differences in coverage under formal workers’ compensation programs, perhaps because undocumented workers (many of whom already faced hazardous conditions when migrating illegally to work in the United States) comprise a disproportionate share of the LEP. However, our data and methodologies do not allow us to determine whether these premiums adequately compensate the LEP for the occupational risk they undertake.     

Re‐Examining Advances in Occupational Licensing Research: Issues and Policy Implications

Much has changed in the realms of occupational licensing since BJIR last ran a special issue on the subject in 2010. The number of occupations subject to licensing has been growing, the data available to investigate the incidence and effects of licensing have improved immeasurably, and the policy environment surrounding licensing has changed. This issue reflects these changes with eight papers from North America and Europe covering the incidence of licensing, and its effects on wages, inequality, employment, quality of service provision and rent extraction by the organizations who undertake licensing.     

The Growing Importance of Family: Evidence from Brothers’ Earnings

We examine between‐brother correlation of earnings, family income, and wages from two cohorts of the National Longitudinal Surveys. Young brothers who entered the labor market in the 1970s had lower correlations of economic outcomes than did those who entered in the 1980s and early 1990s. Neither the rising brother correlation in education nor the rising return to schooling accounts for much of the increase in the brother correlation in earnings. These results suggest that family and community influences other than years of education that are shared by brothers have become increasingly important in determining economic outcomes.