Search

We sharpen tests for ‘discouragement’ and ‘added worker’ effects by splitting the explanatory variable – the unemployment rate – into a short-term component and a long-term component. While short-term unemployment (STU) might not result in additional workers on a large scale, long-term unemployment (LTU) reduces household income more, increasing the need for additional income. On the other hand, it may discourage older workers for psychological and sociological reasons. Applying our model to the German labour market, these hypotheses could be confirmed. Even for men, about whom only a few empirical studies on this issue are available, distinguishing between STU and LTU reveals added worker as well as discouragement effects. [ABSTRACT FROM PUBLISHER]

We explore the effects of higher bodymass index (BMI) or obesity on different labourmarket outcomes. Weextend the present literature by investigating the effect of obesity on (i) promotion likelihood and (ii) unemployment duration, in addition to the effect on (iii) wages and (iv) probability of being employed. Wefind an obesity penalty on wages,employment likelihood, promotion likelihood and unemployment duration among females in Germany taking into account of endogeneity of BMI and sample selection. We are also able to identify an unexplained effect of obesity on wages, employment and promotion likelihood for females using decomposition techniques that can be attributed to weight discrimination. [ABSTRACT FROM AUTHOR]