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Book part
Publication date: 23 June 2016

Esfandiar Maasoumi and Yifeng Zhu

We examine the potential effect of naturalization on the U.S. immigrants’ earnings. We find the earning gap between naturalized citizens and noncitizens is positive over…

Abstract

We examine the potential effect of naturalization on the U.S. immigrants’ earnings. We find the earning gap between naturalized citizens and noncitizens is positive over many years, with a tent shape across the wage distribution. We focus on a normalized metric entropy measure of the gap between distributions, and compare with conventional measures at the mean, median, and other quantiles. In addition, naturalized citizen earnings (at least) second-order stochastically dominate noncitizen earnings in many of the recent years. We construct two counterfactual distributions to further examine the potential sources of the earning gap, the “wage structure” effect and the “composition” effect. Both of these sources contribute to the gap, but the composition effect, while diminishing somewhat after 2005, accounts for about 3/4 of the gap. The unconditional quantile regression (based on the Recentered Influence Function), and conditional quantile regressions confirm that naturalized citizens have generally higher wages, although the gap varies for different income groups, and has a tent shape in many years.

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Essays in Honor of Aman Ullah
Type: Book
ISBN: 978-1-78560-786-8

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In this paper we use a large linked employer-employee data set on German establishments between 1993 and 2012 to investigate how the gender composition of the top layer of management affects a variety of establishment and worker outcomes. We use two different measures to identify the gender composition of the top layer based on direct survey data: the fraction of women among top managers, and the fraction of women among working proprietors. We document the following facts: (a) There is a strong negative association between the fraction of women in the top layer of management and several establishment outcomes, among them business volume, investment, total wage bill per worker, total employment, and turnover; (b) Establishments with a high fraction of women in the top layer of management are more likely to implement female-friendly policies, such as providing childcare facilities or promoting and mentoring female junior staff; (c) The fraction of women in the top layer of management is also negatively associated with employment and wages, both male and female, full-time and part-time. However, all of these associations vanish when we include establishment fixed effects and establishment-specific time trends. This reveals a substantial sorting of female managers across establishments: small and less productive establishments that invest less, pay their employees lower wages, but are more female-friendly are more likely to be led by women.

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Gender Convergence in the Labor Market
Type: Book
ISBN: 978-1-78441-456-6

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Book part
Publication date: 11 May 2017

Seamus McGuinness and Konstantinos Pouliakas

This paper uses data from the Cedefop European Skills and Jobs survey (ESJS) (Cedefop, 2014, ESJS microdata are Cedefop copyright and are reproduced with the permission of…

Abstract

This paper uses data from the Cedefop European Skills and Jobs survey (ESJS) (Cedefop, 2014, ESJS microdata are Cedefop copyright and are reproduced with the permission of Cedefop. Further information is available at Cedefop, 2015), a new international dataset on skill mismatch of adult workers in 28 EU countries, to decompose the wage penalty of overeducated workers. The ESJ survey allows for integration of a rich set of variables in the estimation of the effect of overeducation on earnings, such as individuals’ job search motives and the skill needs of their jobs. Oaxaca decomposition techniques are employed to uncover the extent to which the earnings penalties of overeducated workers can be attributed to either (i) individual human capital attributes, (ii) job characteristics, (iii) information asymmetries, (iv) compensating job attributes, or (iv) assignment to jobs with different skill needs. Differences in human capital and job-skill requirements are important factors in explaining the wage premium. It is found that asymmetry of information accounts for a significant part of the overeducation wage penalty of tertiary education graduates, whereas job characteristics and the low skill content of their jobs can explain most of the wage gap for medium-qualified employees. Little evidence is found in favor of equilibrium theories of compensating wage differentials and career mobility. Accepting that much remains to be learned with regards to the drivers of overeducation, this paper provides evidence in support of the need for customized policy responses to tackle overeducation.

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Skill Mismatch in Labor Markets
Type: Book
ISBN: 978-1-78714-377-7

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Article
Publication date: 29 April 2020

Cicero Francisco De Lima, Edward Martins Costa, Francisca Zilania Mariano, Wellington Ribeiro Justo and Pablo Urano de Carvalho Castelar

The objective of this work was to analyze the income differential of the rural–urban worker in relation to the rural–rural worker and in relation to the urban–urban worker…

Abstract

Purpose

The objective of this work was to analyze the income differential of the rural–urban worker in relation to the rural–rural worker and in relation to the urban–urban worker in the Brazilian labor market. Two databases were used, the 2005 and 2015 PNADs (Pesquisa Nacional Por Amostra de Domicílios).

Design/methodology/approach

The methodology is the decomposition approach proposed by Firpo et al. (2007, 2009). This method adopts estimates of unconditional quantile regressions, based on the concepts of influence function and recentered influence function (RIF).

Findings

Among the main results, income differentials were shown to benefit the urban–urban worker when compared to the rural–urban worker, and income differences to the benefit of the rural–urban workers, when these were compared to the rural–rural workers. The educational variable was relevant in explaining the income disparity and expressing increasing effects in the higher quantiles.

Originality/value

The methodology used in this work is considered recent in the literature as it is based on the RIF regression (Firpo et al., 2007, 2009). The main advantage of this method is the possibility of assigning a “composition effect” and a “wage structure effect” for each variable that determines the level of income at different points of the income distribution.

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Journal of Economic Studies, vol. 47 no. 4
Type: Research Article
ISSN: 0144-3585

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Article
Publication date: 26 June 2019

Nathan Robert Berglund and John Daniel Eshleman

The purpose of this study is to examine the role of ethnic similarity in the audit partner–client manager relationship and its impact on auditor selection and retention decisions.

Abstract

Purpose

The purpose of this study is to examine the role of ethnic similarity in the audit partner–client manager relationship and its impact on auditor selection and retention decisions.

Design/methodology/approach

The authors use name matching analysis to infer ethnicity of audit partners and client managers in the US nonprofit reporting environment. The authors examine the degree of ethnic similarity (co-ethnicity) between the two parties and model auditor selection and retention decisions as a function of co-ethnicity. The authors also model reporting attributes as a function of co-ethnicity.

Findings

The authors find that the ethnic similarity between the client manager and their external audit partner is a significant determinant of auditor-client alignment. Specifically, the authors find that clients are more likely to select and retain an audit partner who is ethnically similar to the client manager. The authors find that co-ethnicity is associated with a lowered propensity to issue a going concern opinion to a financially distressed client and an increased occurrence of underreporting of fundraising and administrative expenses.

Research limitations/implications

Taken together, the evidence suggests that ethnic diversity (the opposite of co-ethnicity) in the auditor-client relationship is associated with higher audit quality. These findings are relevant to client managers, audit committees and public accounting firms as they make auditor selection and reporting decisions.

Originality/value

Prior studies have found that co-ethnicity influences the formation and future success of various business partnerships. The auditor-client relationship is a unique setting within the business environment where the two parties must balance their desire to maintain a close relationship with their need to maintain independence. The study is the first to examine the role of ethnicity in the auditor-client relationship.

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Managerial Auditing Journal, vol. 34 no. 7
Type: Research Article
ISSN: 0268-6902

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Article
Publication date: 28 August 2019

Asmaa Ezzat and Hanan Nazier

The purpose of this paper is to investigate the gender differences in time poverty in two Middle East North African (MENA) countries, particularly Egypt and Tunisia, as…

Abstract

Purpose

The purpose of this paper is to investigate the gender differences in time poverty in two Middle East North African (MENA) countries, particularly Egypt and Tunisia, as well as examining its determinants across gender.

Design/methodology/approach

To this end, the authors make use of data provided by the Labor Market Panel Survey (LMPS) in Egypt (2012) and in Tunisia (2014) to estimate probit regressions to identify various determinants that explain time poverty.

Findings

The empirical findings show that the probability of time poverty, in both countries, is lower for women compared to men. In addition, the determinants of time poverty (individual, household and community variables) and their marginal effects differ across gender.

Originality/value

Research on the gender inequalities in time poverty and its determinants has been very limited. Additionally, the relationships between individuals’ time use and the conditions under which this might represent time poverty have not been fully studied in the literature. Moreover, most of the available studies have focused on developed countries; while studies tackling this issue in developing countries are very few. For the MENA region, in particular, this topic is totally missing in the available literature.

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International Journal of Development Issues, vol. 18 no. 3
Type: Research Article
ISSN: 1446-8956

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Article
Publication date: 15 March 2010

Jeremy Turk

Abstract

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Advances in Mental Health and Learning Disabilities, vol. 4 no. 1
Type: Research Article
ISSN: 1753-0180

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Structural Models of Wage and Employment Dynamics
Type: Book
ISBN: 978-0-44452-089-0

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Article
Publication date: 1 June 1998

Georgios I. Zekos

Looks at the practice of stipulating in international contracts which country’s law should govern any disputes that arise, using a governing‐law clause. Considers the…

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Abstract

Looks at the practice of stipulating in international contracts which country’s law should govern any disputes that arise, using a governing‐law clause. Considers the regulations relating to contractual matters of conflict of laws laid down by the 1980 Convention on the Law Applicable to Contractual Obligations, which exclude bills of lading unless they are regarded as non‐negotiable instruments. Outlines the treatment of conflict of laws relating to bills of lading under Greek, US and English law, citing legal cases as examples, and reveals that in all three legal systems the choice of the applicable law, set out in the contract itself, is included in the bill of lading. Uncovers contradictions in the Greek and English approaches to the contractual role of bills of lading, and suggests that a uniform approach must be adopted, following the lead of US legislation, which clearly specifies that the bill of lading is the contract of carriage in which the choice of law is explicitly stated.

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Managerial Law, vol. 40 no. 3
Type: Research Article
ISSN: 0309-0558

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