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In the aftermath of the COVID-19 pandemic, employment opportunities dried up owing to lockdowns and the economic fallout was felt by men and women alike. In this paper, we explore the impact of the pandemic-induced lockdowns on the female labour force participation rate (FLFPR) in India overall and in rural and urban areas taken separately. We use a panel dataset of 15 Indian states over the period 1991–2021 and estimate a dynamic GMM model to study the pandemic effect. Our results show that FLFPR that had historically shown a declining trend increased during the pandemic years despite lockdowns and job cuts. We find that there was an increase of 2.5% in FLFPR during the pandemic years. Our results hold even after controlling for other determinants of FLFPR such as per capita income, school education, fertility rate and male unemployment rate. Our results are consistent across rural and urban settings taken together and considered separately. Our findings suggest that economic distress drove women to take up low-paying jobs, resulting in the feminization of poverty. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of wealth loss induced by over-quota birth fines on household economic well-being in China. We find that household labour supply adjusts to fertility fines primarily via the extensive margin of maternal labour supply, which is followed by higher savings rates and more remittances sent home. Fertility fines have no effects on non-food consumption; however, they significantly decrease food consumption. We propose two instrumental variables and placebo tests as identification strategies, all of which yield consistent results. Our study deepens the understanding of how households respond to over-quota birth fines and sheds light on responses to negative wealth shocks. [ABSTRACT FROM AUTHOR]

Recent sluggish economic growth in developed countries has become a cause for concern regarding the long-term sustainability of the global economy. Continuous declines in the total fertility rate (TFR) constitute an essential factor in stagnant economic growth in developed countries. In this paper, we utilize fixed and random effect models to examine the relationships of TFR with putative TFR determinants in G7 countries from 1980 to 2020. Our findings support the societal response hypothesis wherein the relationship between TFR and female labour force participation rate (FLFPR) is posited to be stable and positive. Furthermore, the present study confirms a positive relationship of crude marriage rate (CMR) and market childcare availability (MktCC) with TFR. A negative relationship between the ageing population (AGE) and TFR was observed, consistent with broad concerns regarding the impending economic impacts of population ageing in developed countries. [ABSTRACT FROM AUTHOR]

This paper evaluates the use of commuting zones as a local labour market definition. We revisit the seminal paper by Tolbert and Sizer and demonstrate the sensitivity of definitions to two features of the methodology: a cluster dissimilarity cut-off, or the count of clusters, and uncertainty in the input data. We show how these features impact empirical estimates using a standard application of commuting zones and an example from related literature. We conclude with advice to researchers on how to demonstrate the robustness of empirical findings to uncertainty in the definition of commuting zones. [ABSTRACT FROM AUTHOR]

This paper investigates the impact on polluting emissions as a result of manufacturing industries in China offering services as well as products. We merge detailed firm-level statistics covering 2000 to 2011, and use two-way linear fixed effects regression to control for firm and year heterogeneities and a host of control variables. The empirical results show that manufacturing servitization significantly reduces the emission intensity of firms. This effect is achieved by improving the total factor productivity of firms, optimizing the efficiency of energy use, and increasing the share of the highly-skilled labour force. Moreover, the emission reduction effect of manufacturing servitization is more profound in the eastern and central regions, pollution-intensive industries, non-state-owned firms, and processing trade firms. In addition, our extended analysis shows that the emission reduction effects of manufacturing servitization can be strengthened through trade liberalization and cohort study. The major policy implication is that governments should undertake industrial policies that reinforce the positive effects of manufacturing servitization in order to achieve win-win outcomes in manufacturing upgrading and environmental protection. [ABSTRACT FROM AUTHOR]

The aim of this paper is to investigate the effect of chronicity in labour supply and the participation equation in a flexible framework. We analyse a semiparametric model for data including problems of sample selection and endogeneity, because a regressor is correlated with the disturbance term. One approach is to specify a simultaneous equation model where a dummy endogenous variable accounting for chronicity is included in the structural and selection equation. We propose a consistent estimator of the structural parameters robust to misspecification. The endogeneity and the selection are assumed to be nonparametric and the conditional distribution of the errors is left unspecified. Using a control function approach, the resulting estimator is obtained through a new pairwise differencing transformation. In addition to its empirical performance, the asymptotic properties are established. Our empirical findings confirm the idea that having a chronic illness has a negative effect on income, accounting for an approximately 32 % decrease in expected income, which is close to the finding of Currie and Madrian (1999). [ABSTRACT FROM AUTHOR]

This paper estimates private and social returns to investment in education in Turkey, using the 2017 Household Labour Force Survey (latest available at the time of writing) and alternative methodologies. The analysis uses the 1997 education reform of increasing compulsory education by three years as an instrument. This results in a private rate of return on the order of 16% for higher education and a social return of 10%. Using the number of children younger than age 15 in the household as an exclusion restriction, sample selection correction is applied, and it shows that the returns to education for females are higher than those for males. Contrary to many findings in other countries, private returns to those working in the public sector are higher than those in the private sector, and private returns to those who followed the vocational track in secondary education are higher than those in the general academic track. The paper discusses the policy implications of the findings. [ABSTRACT FROM AUTHOR]

This paper offers empirical evidence on the effect of mother-tongue instruction in primary school on students' later labour market outcomes. Since Ethiopia has adopted mother-tongue instruction after the 1994 Ethiopian education reform, many students who have attended primary school after 1994 are exposed to mother tongue instruction, resulting in a variation in exposure to mother-tongue instruction by birth cohort. In Amhara state, Amharic is adopted as medium of instruction both before and after the education reform whereas other states in Ethiopia have changed the medium of instruction after the 1994 reform. The duration of students' exposure to mother-tongue instruction, however, varies depending on the state in which they have attended primary school since states in Ethiopia mandate a switch from mother-tongue to English instruction either in grade 5, 7, or 9. Exploiting these two plausibly exogenous sources of variations (across states and birth cohorts) and using data from the 2013 Ethiopian Labour Force Survey, we estimate difference-in-differences model. Estimates from our preferred specifications suggest that mother-tongue instruction in primary school improves later labour market outcomes, but the size of its effect decreases with the number of years an individual was exposed to mother-tongue instruction in primary school. [ABSTRACT FROM AUTHOR]

The population of unmarried heterosexual cohabiting women has nearly tripled in the US over the past two decades. While previous studies have tended to ignore these women, or treat them as single/married, this paper examines the labor supply responses of cohabiting women, single women, and married women from 1996 to 2016 using March-CPS. A comparison of the three groups finds that cohabiting women have the lowest labor force participation elasticity with respect to after-tax wages. That cohabiting women would work more hours if their partners earned more annually and married women would not, points to another behavioral difference between the two groups. Results from ATUS-CPS 2003–2017 further imply that cohabiting women share some of the same characteristics of single and married women. We conclude that unmarried heterosexual cohabiting women should be classified as a separate female group. [ABSTRACT FROM AUTHOR]

This paper examines factor market competition in the US economy with quarterly 1973–2013 data for fixed capital assets, labour force, and energy Btu input. The translog production function is estimated directly to avoid the assumption of competitive pricing in factor share equations. Error correction estimates on yearly percentage changes for the difference stationary series are consistent with Hicks neutral technology. Capital is underpaid relative to marginal product. Energy is also underpaid and has an upward trending marginal product. In stark contrast, labour is overpaid relative to downward trending marginal product. Non-Competitive pricing due to binding quantity constraints characterize these factor markets. [ABSTRACT FROM AUTHOR]

Exploiting estate tax cuts from the Taxpayer Relief Act of 1997 (TRA97), this paper estimates the effect of death tax on the labour supply of living potential donors. To this end, difference-in-difference with multiple imputation approach is applied to micro-level panel data. This paper finds that the estate tax cuts makes no difference in labour force participation or working hours of potential donors in a statistically meaningful way, although the TRA97 reduces marginal estate tax rates by 37.51% on average. This finding suggests that the death tax causes no meaningful distortion of living potential-donors' labour supplies at either extensive or intensive margin. [ABSTRACT FROM AUTHOR]

Increasing the labour market participation rates of older workers is a means to secure the sustainability of public finances. However, questions about the effects of job loss of unemployed older workers and their employment prospects remain. This paper investigates why workers, aged 50 and over, have less employment opportunities. Using a competing risks model on British panel data, we examine the chances of re-employment after unemployment spells for older individuals. We find that human capital characteristics and economic incentives play an important role in their chances of getting back to work. We show that the probability of returning to employment after an unemployment spell decreases as workers get older. A decomposition analysis supports the role of age in the unemployment duration gap between 'older' and 'younger' individuals. The duration of leaving unemployment to employment of older workers would be lower if they will be treated in the same way as the younger ones, which is consistent with elderly employment barriers. [ABSTRACT FROM AUTHOR]

The Internet technology has had a visible impact on the daily work and lives of people, especially the youth. This paper aims to investigate the influence of Internet technology on labour income as well as the channels through which income is affected, with a variety of empirical methods. Using the Chinese Family Panel Survey (CFPS) in 2014 and 2018, we discover that a 'digital gap' in Internet use is emerging. First, young labour force with higher income and education, urban identity, and working in high-skilled industry earn more from Internet use than their peers. Second, the return of operational income is higher than the return of wage income. Third, the return on long-term Internet use is higher than the return on short-term Internet use; however, the return has tended to decline, particularly among the bottom 25% income groups. Forth, the Internet affects their income through three main channels: assisting learning, improving working efficiency, and promoting information sharing. We also offer a few policy suggestions (e.g. improving the allocation of Internet resources). [ABSTRACT FROM AUTHOR]

This paper provides a quantitative assessment of a general equilibrium economy with non-Walrasian labour markets. Indeterminacy in the economy does not require production externalities or increasing returns but it rests on replacing the labour supply curve by a no-shirking condition on the efficiency-wage labour markets. The model is estimated on U.S. data via full information Bayesian methods. The shirking model is capable of matching several stylized facts of the aggregate economy and the labour market. Data favour a version of the artificial economy that is characterized by determinacy. [ABSTRACT FROM AUTHOR]

This paper investigates the role of industry-specific human capital (ISHC) in determining industry wage structure. The model presented in this paper distinguishes between knowledge labour and physical labour. Knowledge labour is physical labour embodied with ISHC. It is postulated that more ISHC-intensive industries, such as high-tech industries, pay higher wages and the wage premiums increase with workers' experience. The hypothesis is tested using a merged sample of 1997-1999 manpower utilization survey data from a newly industrialized economy--Taiwan. The findings show support for the effect of ISHC. [ABSTRACT FROM AUTHOR]

This paper examines the determinants of self-employment and transitions from salaried employment to self-employment using two sets of Finnish data from the 1990s. The results show that capital constraints have only a minor effect on new business starts. Human capital, in the form of intergenerational links in self-employment and psychological factors play a much larger role. The paper also provides empirical evidence that less risk-averse workers are more likely to become entrepreneurs. [ABSTRACT FROM AUTHOR]

This paper extends Becker's model of the household production function of human capital to the production of elderly functionality. In this model, elderly functionality is produced with the direct inputs of assistive devices, personal assistance, and nutritional intake. Education, endowment variables (like genetic endowment and sex) and health conditions (like stroke) determine the production function environment. Data from the Survey of Asset and Health Dynamics Among the Oldest-Old (AHEAD) are used to estimate a production function of bathing functionality, using a two-stage estimation procedure. In the first stage, input demands for the endogenous functionality inputs are estimated, recognizing health heterogeneity. The results suggest that reverses in functionality caused by age and health conditions can be partially compensated for by the use of assistive devices (like grab bars and bathing equipment), secure nutritional intake, and moderate alcohol consumption. However, non-inputs like chronic health conditions, age, sex and genetic endowment exert a strong influence on the level of functionality. [ABSTRACT FROM AUTHOR]

The aim of this paper is to bring the temporal nature of absence decisions into the forefront of the analysis of employee absenteeism. The theoretical contribution of the paper draws on the conventional labour supply model of absence behaviour and extends the analysis in order to place absenteeism in the context of multiperiod analysis. In addition, the implications of a specific absence penalty system are analysed which essentially makes the availability of overtime working conditional on an employee's absence history. The empirical analysis explores a daily panel of absence histories gathered by the firm which operates this particular penalty system. The analysis of such panel data, therefore, incorporates the temporal aspect to the absence decision-making process. The findings suggest that the absence penalty system is effective and, furthermore, the results indicate ways in which the effectiveness of the system could be enhanced. In general, the results confirm the findings of other researchers, which suggest that characteristics of the employment contract such as wages are important determinants of observed absence behaviour. [ABSTRACT FROM AUTHOR]

This article studies the effects of venture capital on the performance of the labour market. Using data from a much larger sample of countries than previous papers, it finds more readily available venture capital to favourably affect both the unemployment and the employment rate. The magnitude of the estimated effects is substantial. We control for both endogeneity of venture capital availability and most major determinants of labour market performance. The results are robust to variations in specification. [ABSTRACT FROM PUBLISHER]

This paper studies the complementarity between investment in information and communication technologies (ICT) and the related investment in human and organizational capital. Using firm-level data taken from a large sample of Italian manufacturing firms, an ICT marginal product much higher than its user cost is estimated. It is then argued that missing complementary investments may have acted as barriers to investment in ICT. Results support the conjecture that the marginal product excess over the user cost is due to those firms that did not complement their ICT investment with an increase in the human capital of their labour force and with a reorganization of the workplace. [ABSTRACT FROM AUTHOR]

This study presents a new method to analyse the impact of exogenous shock and its transmission mechanism within the global production network, based on scenarios of the COVID-19 pandemic. We decompose domestic and international technology spillovers and introduce them into an economic growth model to investigate the elasticities of factor inputs and knowledge spillovers through industrial linkages, and eventually estimate a model with spatial specifications. The results from the scenario simulations suggest that the global total output is projected to fall by 3.60% and 8.41% under the V-shaped and L-shaped recovery scenarios, respectively, and that the propagation through input-output linkages is an important channel that causes global economic fluctuations. Economies at the hub of the production network, that is, the United States, China, and Germany, are the most seriously affected. Structural decomposition analysis results indicate that the shortage of intermediate inputs supply is the main driver of output decline, followed by the blockage of technology diffusion, and lastly, the reduction of labour supply. [ABSTRACT FROM AUTHOR]

This paper seeks to examine what factors are associated with student labour force participation in Northern Ireland in both term-time and vacation making use of Quarterly Labour Force Survey data for the period March 1998-February 1999. The results suggest female students are more likely to work than male students, mature students are less likely to work than non-mature students, Roman Catholic students are less likely to work than non-Roman Catholic students, students living at home are more likely to work than student living away from home and an increase in the actual or predicted wage increases the probability of labour force participation. The author suggests that some of these results are due to the particular nature of the Northern Ireland socio-economic situation while others are likely to be true for the rest of the United Kingdom. [ABSTRACT FROM AUTHOR]

This paper sets out to establish the main determinants of variations in the demand for aggregate labour in manufacturing and service sectors (22) for a cross-section of OECD countries (14). A relatively new panel data set is employed in the analysis, the OECD's International Sectoral Data Base. Preliminary analysis revealed that the 'within' sector variation in the wage share dominated overall variation for most countries and time periods. A separate dynamic model was thus generated to explain the 'within' sector variation in the wage share. This model contained real wages, output, the capital stock, technological change (total factor productivity) and trade (the imports to value-added ratio) as independent variables. In addition the wage level was also interacted with these explanatory variables on the presumption that skill is positively correlated with the level of wages. Because of the potential for simultaneity bias, estimation was conducted by IV and OLS. The main findings were that the capital stock and technological change were the main determinants of shifts in labour demand. While some countries reported the trade variable as significant its influence was only of slight importance in most cases. The interaction terms proved to be significant in a large number of countries. Some evidence was found that capital and technological were complementary with skill. Overall it was found that broad agreement existed across countries in the factors which influence labour demand despite considerable differences in the cross-country nature of labour market institutions. [ABSTRACT FROM AUTHOR]

This paper analyses the efficiency of the Finnish Employment Service's management in selecting unemployed individuals who are offered a job. The database used considers short-term unemployed individuals who face the same labour market conditions in 1996. Duration analysis with a Weibull model has been performed in order to study the determinants of the transition probability from unemployment into employment and the impact of receiving job offers through the Employment Service (ES). In order to carry this out, it has been taken into account that the reception of such job offers may be endogenous because the ES selects the individuals who will receive the offers. The empirical results suggest that the decisions made by the ES are adequate in the sense that they increase the benefit of society, compared with a random assignment of the vacancies offered through the ES. Moreover, the effects of the other determinants depend on whether the individual receives offers. The results also point out that individuals who receive no offers through the ES are more likely, as time passes by, to be discouraged in searching for a job than those who do. [ABSTRACT FROM AUTHOR]

This paper deals with possible explanations of unemployment persistence within a sectoral approach to the Austrian labour market. First the concept of unemployment persistence is specified in terms of the time series properties of the unemployment rate. Sectoral job gains and job losses form the labour market flows in this approach. The standard matching model is replaced then by a model of the competition between the unemployed and new entrants in the labour market for new jobs as an 'adding up' demand system of the AIDS type. The estimations of different system specifications indicate, that the sectoral structure of job gains plays a role in the competition mechanism between unemployed workers and new entrants. [ABSTRACT FROM AUTHOR]

The primary focus of this paper is on efficiency wages and their testable implications. In particular the nature of the relationship between efficiency wages, productivity and the make up of the labour force is analysed, modelled and subjected to an empirical test. This theory is consistent with the views of many managers and personal administrators, who tend to ascribe primary importance in wage setting to indirect control of the firm's workforce. Here we test a labour augmenting production function where effort depends not only on wages but also on the proportion of temporary workers. [ABSTRACT FROM AUTHOR]

Economists have usually called the proportion of the average wage gap between two groups which could not be explained by individual characteristics 'discrimination'. Recently, several theories have suggested that labour market discrimination, on the one hand, lowers the wages of the 'minority' group, and on the other, leads to higher pay for the 'majority' group. In a recent survey of the various methods used to decompose the overall wage differential between two groups, Oaxaca and Ransom compared five approaches in the contexts of race and gender discrimination. This paper checks whether there are significant differences between the various decomposition procedures which have appeared in the literature. The tests are based on bootstrap techniques. [ABSTRACT FROM AUTHOR]

This paper provides new empirical evidence on household labour supply with rationing. To that end, we use the latest Spanish data in order to estimate three flexible functional forms, namely the NLES, the quadratic and the Hausman - Ruud forms and calculate the income and wage elasticities. We find that the number of dependants has a negative effect on the labour supply of the female. Moreover, the North and the East Spanish regions have a clearly positive effect on the labour supply of the female, whilst the North has the same effect on that of the male. The elasticities of three functional forms are very similar. Male labour supply is slightly decreasing with the wage, whilst for the female it is increasing. Leisure is a normal good for both spouses, as expected, whilst the labour hours are net substitutes. [ABSTRACT FROM AUTHOR]

This paper augments the Solow-Swan model of economic growth to include the share of the labour force working outside the agricultural sector as a labour augmenting variable in the aggregate production function. The cross-country empirical results suggest that transferring labour from the agricultural sector to other sectors of the economy is associated with economic growth. This result is robust to using instrumental variables to control for the potential endogeneity of the relative size of the agricultural labour force. [ABSTRACT FROM AUTHOR]

This paper fills an important gap in the migration literature by examining the interrelation between advanced consideration of migration and other migration decisions such as the choice of destination. It is shown that advanced consideration of migration via its interaction with some personal and locational factors can affect the destination choice and the potential destination characteristics, on the other hand, can trigger advanced considerations of migration. Furthermore, the results show that incorporation of advanced consideration of migration helps explain the anomalies observed in the literature (e.g., it offsets the negative impact of a high unemployment rate in a region so that migrants would move to a high unemployment area if they can plan ahead and make an effective job search). [ABSTRACT FROM AUTHOR]

This paper tests for structural stability of the Solow growth model, as recently extended to human capital and applied to a large section of countries by Mankiw, Romer and Weil. The evidence is obtained by ranking each explanatory variable of the model in ascending order and then running recursive regressions and by then splitting the original sample according to cluster analysis before running separate regressions. The evidence shows that the model exhibits overall structural breaks; the convergence coefficient, however, is very stable; the coefficients of the production factors become unstable where the factors become very abundant or very scarce; the coefficient of labour growth is negative and significant, as required by the theory, only if a small group of countries with scarce labour is considered; the same coefficient is instead positive and significant for a group of countries with abundant labour and favourable initial income and investments; the coefficient of investment in human capital is not significant if abundant labour countries or, simply, if influential countries in the regression are not considered. [ABSTRACT FROM AUTHOR]

This study provides new evidence on on the causal effect of fertility on maternal labor supply in rural China, using the fact that in some parts of rural China couples are allowed to have a second child if their firstborn is female. Estimates show that a second child reduces maternal labor force participation by 4.6 percentage points, labor supply intensity (hours worked conditional on employment) by 1.4 h per week and monthly income by 54.5 Chinese Yuan (18.7 percent). Further, the labor supply of mothers whose husbands are rural-to-urban migrants is the most sensitive to having an additional child, likely because they have more difficulty balancing farming and childcare. Conversely, labor supply is not reduced by fertility for mothers living in three-generation families, most likely because grandparents can provide both time and money to help with childcare. [ABSTRACT FROM AUTHOR]

In this paper I try to answer the question whether the gender wage gap in the Netherlands is declining. I posed this question because on several other indicators labour market differences between men and women in the Netherlands declined or disappeared altogether. First of all the labour market participation of women has increased and women on the labour market are no longer a small minority. Second, the difference in productive characteristics between men and women is disappearing. Third, both product and labour markets have become increasingly competitive, due to changes in regulation like anti-trust laws, which should have an effect on the gender wage gap. Contrary to these expectations I did not find a declining gender wage gap. The data in Dutch Institute for Labour Studies (OSA) labour supply panel show a steady gender gap of approximately nineteen per cent. At most twenty-five to thirty per cent of the gap can be explained by productivity differences. The largest part of the gender wage gap is due to 'price' differences. Both cross-section and panel analyses give the same answer. [ABSTRACT FROM AUTHOR]

In the Netherlands auditors can be trained in a part-time educational track in which students combine working and studying or in a full-time educational track. The former training is relatively firm-specific whereas the latter training is relatively general. Applying human capital theory, we expect higher wage growth for full-time educated auditors than for dual-educated auditors. Furthermore, full-time educated auditors may have better outside options than part-time educated auditors. This may make it easier for them to switch employers than for the part-time educated auditors. The predictions on tenure and wages of differently educated auditors are supported by the estimation results in this paper. The part-time, dual track appears an important route for students from a lower socioeconomic background. [ABSTRACT FROM AUTHOR]

The existence of quasi-fixed costs of work may affect firms' desired employee hours and number of workers, which has important implications for the estimation of labour supply parameters. Firm-level data from the 1982 Employment Opportunity Pilot Project is used to estimate the importance to firms of employee quasi-fixed costs related to searching, hiring, training, and firing. Specifically, this paper examines how these costs affect number of workers and hours per worker, turnover, and vacancies, to the extent that the costs are determined by the firm's presumably exogenous industrial classification. An attempt is made to control for biases due to employee heterogeneity as well. Results show that higher costs are associated with lower turnover, fewer vacancies, and longer hours as predicted by a model of labour demand. [ABSTRACT FROM AUTHOR]

This paper investigates empirically the factors that affect the cost–benefit ratio of employers’ search. The empirical analysis is based on a small Dutch data set containing individual information on filled vacancies. It is found that firms that use advertisements during recruitment are sensitive to labour market conditions; their search cost per applicant rises (drops) in tight (slack) labour markets because of the diminished ability of advertisements to generate applicants in tight labour markets. Furthermore, it is found that the high search cost incurred by posting identical vacancies is more than compensated for by the benefits from having a larger flow of applicants. [ABSTRACT FROM AUTHOR]

The paper considers the allocation of time among working-age women in Britain using time-budget data from 1986–1987. It finds that women generally allocate 69% of their time towards non-work, 21% to unpaid work, and 10% towards paid work (which is often censored). It also estimates the coefficients of the uncensored functions and compares the findings to the outcomes of the censored labour supply regression stemming from the Selection-Bias Correction (SBC) and Tobit procedures. [ABSTRACT FROM AUTHOR]

This paper provides more evidence that the wage differential is far smaller than is suggested by simple comparison of gross wages of full-time and part-time workers. It is noted that to obtain a more reasonable measure of the full-time and part-time wage differential, it is necessary to adjust for differences in workers' characteristics, labour market conditions and sample selection. It is found that, in general, full-time and part-time workers exhibit different personal characteristics. In particular, full-time workers possess more human capital and experience than part-timers. Also, labour market conditions such as unions and pension plans favour full-timers. These differences may partly account for the wage disparity between full-time and part-time workers. It was noted that the nonrandomness of the workers into full-time and part-time jobs influences the wage determination of both full-time and part-time workers. The results indicate that the adjustment of the wage equations to reflect the above mentioned differences reduces the national wage differential between full-time and part-time workers by 10%. The reduction is even larger across regions and industries. Another finding was that the wage determination processes between full-time and part-time workers do differ. [ABSTRACT FROM AUTHOR]

Wages in industrialized countries have risen considerably during the last 50 years, whereas hours worked, for manual workers at least, have decreased only marginally. In Europe, one policy response has been to attempt to protect workers from pressure to work long hours by placing legal restrictions on the amount of hours that may be worked each week. This paper examines the possibility that, in fact, observed hours may be the result of a desire of workers to work longer due to a shift in their preferences from leisure to increased consumption, caused by the huge increase in mass media advertising. A cointegrating VAR framework is used to test this hypothesis on UK time series data for both males and females from 1952 to 1997. Advertising is shown to be positively associated with hours worked for both male and female series. Causality tests indicate unidirectional causality, for males and females, from advertising to hours worked. These results suggest that the European policy response is more likely to restrict employee rather than employer discretion over hours. [ABSTRACT FROM AUTHOR]

This paper analyses wage rates in and quit rates from two production departments in an establishment based structured internal labour market in which labour allocation between grades and the wage rate of these grades are managerially determined. First, it is assumed that management makes effective use of the 'private' information about individual employees collected through time, proxied by tenure, to allocate them to the most appropriate tasks. However, in an OLS regression the elasticity of the wage rate with respect to tenure, although statistically significant, is not economically important. Further, it is assumed that this labour allocation process together with the wage structure will facilitate labour retention. However, in a probit model analysing the quit probability, the probability of quitting increases with the wage rate. Both results are compatible with an internal labour market labour allocation process and wage structure that is not competitive with wage rates prevailing in the external labour market. [ABSTRACT FROM AUTHOR]

Most of the research efforts in recent years to explain international differences in unemployment and earnings inequality have placed the emphasis on the institutional components of the labour markets. The purpose of this paper is to evaluate which are the real effects of these characteristics on both phenomena using an ample set of data for different OECD countries. A Cluster analysis permits consideration about relatively heterogeneous models. The results of the econometric exercise show also that institutional factors have a greater impact on earnings inequality than on unemployment. [ABSTRACT FROM AUTHOR]

The recent establishment of regional assemblies adds a further policy dimension to higher education. This paper consists of an empirical analysis of the choices made by the 1991 Northern Ireland cohort of entrants to higher education to stay in or leave Northern Ireland for universities and subsequently then for employment. The data indicate that the probability to leave was firmly linked to A level scores, though this interacted with religion and social class. The choice of labour market for most students reflected the location of university. Those who returned to Northern Ireland after graduation were less able and earned less on average than those who remained. Employment in the locality of the university improves earnings, possibly due to the information this generates for both parties. [ABSTRACT FROM AUTHOR]

This paper considers salary determination and the gender salary gap in the academic labour market utilizing a particularly detailed data set of academics from five old established Universities. Results reveal an aggregate gender salary differential for academic staff of 15%. Most of this differential can, however, be explained by our model. Evidence suggests a limited opportunity for female academics to combine career and family, despite the flexibility of an academic job and emphasizes the importance of mobility to the male career. Publication record is found to be an important determinant of salary. [ABSTRACT FROM AUTHOR]

This paper examines the incidence and reasons for moonlighting with a focus on gender differences. The study specifies and estimates a bivariate probit model of labour supply and the decision to hold more than one job. It is found that the factors leading men and women to moonlight are similar. A wage decomposition analysis reveals that 93 percent of the differential between male and female moonlighters' wages is not explained by differences in characteristics, and little connection is found between an individual's human capital and their moonlighting wage. Finally, it is found that moonlighters are less likely to report their income. [ABSTRACT FROM AUTHOR]

This paper analyses the labour supply behaviour of households in Denmark and Britain. It employs models in which the preferences of individuals within the household are explicitly represented. The households are then assumed to decide on their labour supply in a Pareto Optimal fashion. Describing the structure of the household decision in this way allows preliminary results to be obtained on the internal weighting of utilities within the household. [ABSTRACT FROM AUTHOR]

This paper addresses the issue of overeducation and undereducation using for the first time a British dataset which contains explicit information on the level of required education to enter a job across the generality of occupations. Three key issues within the overeducation literature are addressed. First, what determines the existence of over and undereducation and to what extent are over and undereducation substitutes for experience, tenure and training? Second, to what extent are over and undereducation temporary or permanent phenomena? Third, what are the returns to over and undereducation and do certain stylized facts discovered for the US and a number of European countries hold for Britain? [ABSTRACT FROM AUTHOR]

This paper studies the existence of two differentiated segments, primary and secondary, in the Spanish labour market. For this, a methodology (switching regression model with unknown regimes) is used which, on the one hand, does not demand a priori demarcation of segments and on the other, enables the allocation of workers to the segments to be treated as a factor endogenous to the model itself and closely connected with the wage-setting mechanisms operating in the segments. The empirical results show that the assignment to segments is not random and that there are substantial differences in the wage determination process between the two sectors. Furthermore, the model estimated has allowed analysis of the ex-post composition of the segments and corroboration, to a large extent, of the predictions of the dual labour market theory. [ABSTRACT FROM AUTHOR]

This paper investigates the empirical labour supply behaviour of self-employed solo practice physicians. The specification of the empirical labour supply equation is based on a model of constrained utility-maximizing behaviour that recognizes the physician makes work/leisure choices based on an endogenous shadow wage and faces a nonlinear budget constraint. The findings suggest that the typical self-employed solo practice male physician operates on the upward-sloping portion of the labour supply curve and is relatively unresponsive to changes in marginal hourly medical practice earnings and non-practice income. [ABSTRACT FROM AUTHOR]

Using the generalized residual method, this paper investigates the assumption that children are exogenous in the labour supply equations of married women via alternative regression specifications for the children variables, The empirical results of this paper suggest that children are endogenous to the participation decision. and likely to be exogenous to the hours of work decision for married women. Children under age six have a dramatic negative impact on the labour force participation of married women. These findings support the implication of the literature relating fixed costs of employment, including child care costs, to female labour supply [ABSTRACT FROM AUTHOR]

This paper analyses the factors which determine whether an individual works in the formal sector, in the informal sector, or remains unemployed in the Spanish labour market. We highlight the implications of high unemployment on an individual's decision to work in the underground economy. We postulate that an individual decides (or is chosen) whether to work in the formal sector or not in a first stage and, if not, in a second stage decides whether to work in the underground sector or to remain unemployed. We estimate a bivariate probit model which controls for selectivity bias in the second stage. The result indicates on the one hand, that heads of household, who benefit more from social security provisions obtained in formal sector jobs, are more likely to work in such sector than others. Besides, demand restrictions seem to operate as well-individuals with higher education have easier access to the formal sector. On the other hand, among those who do not work in the formal sector, the probability of working in the informal sector relative to being unemployed is higher among those whose head of household works. For females, the probability of staying unemployed (relative to working in the informal sector) increases with education, suggesting that highly educated women prefer to search for a formal sector job rather than to work in the underground economy. We also examine the job search behaviour among the informal sector workers. [ABSTRACT FROM AUTHOR]