Schooling,fertility and the labour market experience of married women

This paper discusses the role of formal schooling and child rearing in the determination of career path choice of women in the US. Data were collected from the adult educational component of the 1991 US National Household Education Survey. Data are available for about 12,568 respondents, of whom 6860 are female. It is established that, amongst others, expected earnings significantly affect the career path and the hours of work chosen by American women. Based on the results of the study, a number of conclusions have been drawn: 1) expectations of earnings affect women's choice of career path, including decisions such as labor market participation, the part-time work versus full-time work decision, and occupational choice; 2) the indirect and indirect effects of schooling and other variables on regime choice has been studied; the impact of schooling and fertility on women's labor supply follows an intuitively plausible pattern; 3) evidence provided here on the private rate of return to education confirms the findings of Bland that part-time workers do not receive a lower return than others; and 4) the importance of correcting for endogeneity and sample selection biases in the problem of earnings determination and career choice has been established.     

The effect of income taxation on the labor supply of married men in Sweden

This paper presents labor supply functions estimated on a sample of prime age Swedish males. The model used takes account of the nonlinear character of individuals' budget sets caused by the progressive income tax. It also allows preferences to vary between individuals. Calculations with the estimated functions, using a partial equilibrium framework, indicate a sizeable effect of the income tax on hours of work. The average expected deadweight loss of the income tax is found to be approximately 20 percent of tax revenue.     

The effect of labor market monopsony on economic growth

In this endogenous growth model, a minimum efficient scale of production and workers’ home-to-work travel costs combine to give firms monopsony power, and this monopsony power leads to slower growth. Monopsony drives the wage below the marginal product of labor. This lower wage leads to lower investment in human capital and thereby to a lower growth rate. This makes investment in human capital – and therefore the growth rate – suboptimal. We provide evidence from a cross-country panel to support our model: Urbanization, which we assume is determined by a country’s exogenous population density and cropland area, positively impacts the wage share of output; the wage share positively impacts educational attainment; higher-income countries have higher wage shares; and within-country upticks in the wage share have a positive lagged effect on the growth rate.     

Labor market decisions of married women: With emphasis on part-time employment

Part-time employment may be viewed as a bridge between nonemployment and full-time employment or as an alternative to full-time employment. For married women with young children, part-time employment represents an efficient labor market solution to balancing the responsibilities of career and family. This paper estimates the probability of part-time employment for married women by utilizing a multinomial logit model for data extracted from the Panel Study of Income Dynamics [2000]. The paper focuses on the analysis of qualitative dependent variables to predict the probabilities for three distinct labor market decisions. The sample is further stratified to capture the effects of age on a married woman's labor market decision. A clearer picture of part-time employment should provide important insight into the labor market decisions of married women.     

The effect of artificial intelligence on China’s labor market

ABSTRACT

Automation and artificial intelligence technology have played a pivotal role in today’s economic and social development. They represent a labor-substituted technological progress, featuring more and more jobs to be replaced by AI. Based on the adoption rate calculated in our paper and theoretical substitution probability estimated by existing studies, our research estimates the actual substitution probability by AI for various occupations in China. By using this actual substitution probability on occupation level, we also explore the substitution effects on labor force with different characteristics and find that AI has larger substitution impacts on labors of female, old age, low education and low income. We also predict the number of employed people that would be replaced by AI in each industry, and the results show that China will have 278 million labors (201 ~ 333 million under different adoption rates) replaced by AI by 2049, representing 35.8% of the current employment in China.

Abbreviation: Artificial intelligence (AI), internet of things (IoT), Council of Economic Advisers (CEA)     

A simultaneous discrete choice model of labor supply and wages for married women in Switzerland

A simultaneous model of female labor supply and wages is estimated. The labor supply model is formulated as a trichotomous discrete choice model in order to take into account the bimodal distribution of observed working hours. For women without observed wages the probability of choosing the observed work category is integrated over all values of the wage. The model is estimated using a sample of married women in Switzerland. The budget constraint is constructed by computing the disposable income for each hours point, taking into account the Swiss income tax system. The estimation results imply relatively modest wage elasticities of expected labor supply for working women. On the other hand the elasticity of the participation probability with respect to wages for nonworkers is twice as large. The magnitude of the income elasticities is comparable to other studies. The wage elasticities obtained with two alternative estimation procedures are considerably lower. These results show that wage elasticities crucially depend on how the problem of unobserved wages is solved.     

The labor market and corporate structure

We analyze the impact of labor demand and labor market regulations on the corporate structure of firms. Higher wages are associated with lower monitoring, irrespective of whether these high wages are caused by labor market regulations, unions or higher labor demand. We also find that the organization of firms has important macroeconomic implications. In particular, monitoring is a type of “rent-seeking” activity and the decentralized equilibrium spends excessive resources on monitoring. Labor market regulations that reduce monitoring by pushing wages up may increase net output or reduce it only by a small amount even though they reduce employment.     

The effects of joint taxation of married couples on labor supply and non-wage income

The United States changed its tax treatment of married couples in 1948, from a system in which each spouse paid taxes on his or her own income to a system in which a married couple is taxed as a unit. The switch from separate to joint taxation changed incentives for labor supply and asset ownership. This paper investigates the effects of the conversion to joint taxation, taking advantage of a natural experiment created by cross-state variation in property laws. Married individuals in states with community property laws had always been taxed as if each spouse had earned half of the couple's income, and thus were unaffected by the 1948 legal change. Comparing the behavior of highly-educated taxpayers in affected and unaffected states indicates that the tax change is associated with a decline of approximately 2 percentage points in the employment rate of married women, consistent with the higher first-dollar tax rates they faced after 1948. Women married to self-employed men were also less likely to have non-wage income after 1948, reflecting pre-1948 allocation of family assets to wives for tax purposes. The effects of joint taxation on married men's labor force participation and non-wage income holding are generally not statistically significant.     

The division of labor and the extent of the market

Summary. A firms degree of specialization is modeled as the number of different goods it produces. When a firm chooses its degree of specialization, it faces a tradeoff between the fixed cost and the marginal cost of production. A firms degree of specialization is shown to increase with the extent of the market. Meanwhile, the real wage rate, as a measure of the extent of the market, is endogenously determined in the model and is shown to increase with the division of labor.Received: 29 April 2002, Revised: 18 June 2003, JEL Classification Numbers: A10.The author thanks an anonymous referee and Antonio Ciccone for their very valuable and constructive suggestions. I thank Deborah Minehart, Robert Schwab, and Daniel Vincent for their valuable guidance and advice. I also thank Mingchao Chen, David Selover, and Xiaokai Yang for their helpful advice.     

AIDS mortality and its effect on the labor market: Evidence from South Africa

This paper investigates how HIV/AIDS has impacted the labor market in South Africa, focusing on its effect on wages and employment. This is done by matching individual level data with group specific cumulative AIDS mortality rates. Exploiting the panel nature of the data, I remove individuals whose productivity is most likely impacted by HIV/AIDS, and find evidence that cumulative AIDS mortality has led to reductions in wages of between 3 and 6% for the African population group (Black South Africans). Furthermore, I also find evidence that the epidemic has lowered employment in South Africa. This result is concentrated among those with the lowest levels of education and employment. Although not large in magnitude, these effects are widespread across a significant portion of the population, contributing to a substantial loss of income throughout the South African economy.     

Preferences and the labour supply of married women

The paper reports the main results of using British cross-section data to estimate a labour supply function in which preference variables are interacted with terms measuring the slope and position of the budget constraint.     

International factor mobility and the labor market: A macroeconometric analysis of the German labor market

This paper deals with some problems of international factor mobility with respect to labor using the case of the German labor market. A quarterly macroeconometric model of the German labor market is developed and estimated. It consists of equations explaining labor supply and demand for men and women. Most equations distinguish between labor measured in persons and hours. After a determination of the variables of this model which are influenced by foreign employment two groups of foreign workers which differ according to their EC-member status are discussed separately. Because of several legal and institutional regulations a different treatment of each group with respect to employment policy is necessary. For foreigners from outside the EC alternative reaction functions of the government are discussed and estimated. As the officially published unemployment rate is not comparable intertemporally because of foreign involuntary remigration during recession a new unemployment series including these persons is constructed and explained. The influence of foreign employment on wages is examined and two wage equations are estimated. Finally, some simulation results of an enforced remigration policy are reported.     

Poverty trap and the hidden labor market

Using general equilibrium framework, this study investigates the determination of the wage rate, the number of workers, their hours worked, and comparative static effects of policy parameters, in legal and hidden labor markets.     

Money and rank in the labor market

We analyze the gains/losses in wage and in rank position for workers switching firm. Voluntary movers enjoy a wage premium relative to stayers, but that premium declines with rank inside the new firm, indicating that movers are trading-off money and rank.     

The labor market effects of employer recruitment choice

I analyze employer recruitment decisions using a dynamic, discrete-choice structural model that I estimate on a sample of clerical workers from the MCSUI, a large cross section of establishments in four metropolitan areas of the US. In the model, employers choose either informal recruitment methods (which generate a small but select applicant pool from which the employer can hire quickly) or formal methods (which create a large but less select applicant pool which the employer must screen intensively, delaying hiring times). I study the effects of three counterfactual simulations on recruitment strategies, starting wages, and vacancy durations: A wage subsidy, a policy designed to improve information about prospective matches, and an increase in the heterogeneity of prospective matches. I show that the effects of exogenous policy or environmental changes can be decomposed into “pure wage effects” that affect the wage offers employers post, holding constant their recruitment strategies, and “recruitment-wage effects” that involve changes in recruitment methods. The results show that changes in recruitment strategies represent an important channel through which changes in the economic environment affect the starting wages and vacancy duration for new hires.     

包含劳动力市场条件的劳资关系模型及实证分析

本文构建了包括城市失业人口和农村剩余劳动力的全社会角度的失业率指标,以工资和劳动生产率作为劳资之间经济利益关系的考察变量,运用自回归分布滞后模型,实证分析了我国特定劳动力市.场条件下的第二产业和建筑业工资与劳动生产率之间的关系.发现工资增长促进劳动生产率提高的效应,在建筑业存在比第二产业更显著的揭示了通过提高工资改善劳资关系的经济意义.     

市场分割下大学毕业生的就业偏好分析

本文利用大学毕业生就业与创业调查,发现大学毕业生就业有明显的单位偏好、职业偏好和地区偏好.实证分析表明,当大学毕业生的就业单位为正规部门、工作地点在东部大城市时,毕业生的就业满意度将较高.正是由于我国劳动力市场的多重分割在一定程度上形成了初次就业对于就业部门和收益的锁定效应,从而造成毕业生就业出现明显的偏好.因此,要促进大学生面向基层就业,就要尽量减轻劳动力市场的分割程度.     

The labor market effects of trade union heterogeneity

Empirical evidence suggests that the bargaining power of trade unions differs across firms and sectors. Standard models of unionization ignore this pattern by assuming a uniform bargaining strength. In this paper, we incorporate union heterogeneity into a Melitz (2003) type model. Union bargaining power is assumed to be firm-specific and varies with firm productivity. This framework allows us to re-analyze the labor market effects of (i) a symmetric increase in the bargaining power of all unions and (ii) trade liberalization. We show that union heterogeneity unambiguously reduces the negative employment effects of stronger unions. Firm-specific bargaining power creates a link between unionization and the entry and exit of firms, implying a reduction of the unions' expected bargaining power. Moreover, union heterogeneity constitutes an (un)employment effect of trade liberalization. If unions are most powerful in the high-productivity (low-productivity) firms, trade liberalization will increase (decrease) unemployment.