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1 – 10 of over 9000We develop and estimate an empirical collective model with endogenous marriage formation, participation, and family labor supply. Intra-household transfers arise endogenously as…
Abstract
We develop and estimate an empirical collective model with endogenous marriage formation, participation, and family labor supply. Intra-household transfers arise endogenously as the transfers that clear the marriage market. The intra-household allocation can be recovered from observations on marriage decisions. Introducing the marriage market in the collective model allows us to independently estimate transfers from labor supplies and from marriage decisions. We estimate a semiparametric version of our model using 1980, 1990, and 2000 US Census data. Estimates of the model using marriage data are much more consistent with the theoretical predictions than estimates derived from labor supply.
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Tekalign Gutu Sakketa and Nicolas Gerber
Within the framework of potential efforts and strategies to employment generation for young people in Africa in general and Ethiopia in particular, the agricultural sector is…
Abstract
Within the framework of potential efforts and strategies to employment generation for young people in Africa in general and Ethiopia in particular, the agricultural sector is increasingly considered as an important sector and a valuable means for poverty reduction, the promotion of economic development, and youth's economic independence. Renewed hope is placed on the sector to offer sustainable livelihood prospects for the rural youth. Yet, the success and sustainability of the sector require a proper understanding of how households allocate youth labor time in the sector and whether agricultural labor supply is responsive to economic incentives such as shadow wages. Using gender- and age-specific plot-level panel data, we systematically analyze the impacts of shadow wages of each household member on youth agricultural labor supply across types of farms. The results indicate that agricultural shadow wages matter for the youth's labor supply in the sector, but the impact differs for male and female youth. We also show that trends and patterns of youth labor supply vary across gender and whether they work on their own farm, and so do their labor returns. The results are consistent after controlling for individual heterogeneity and instrumenting for possible endogeneity. Taking into account the intensity of youth's actual involvement in the family farm, own farm or off-farm work instead of their stated intentions, the results challenge the presumption that youth are abandoning agriculture, at least in agricultural potential areas of Ethiopia. Instead, the frequent narrative of youth disengaging from agriculture may be a result of methodological flaws or data limitations. The findings suggest that it is necessary to invest in agricultural development to enhance labor productivity and employability of young people in agriculture.
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Shoshana Grossbard and Victoria Vernon
Using micro data from CPS for the period 1995–2011 we investigate effects of Common Law Marriage (CLM) on labor outcomes and using the ATUS for the period 2003–2011 we study its…
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Using micro data from CPS for the period 1995–2011 we investigate effects of Common Law Marriage (CLM) on labor outcomes and using the ATUS for the period 2003–2011 we study its effects on household production and leisure. Identification of CLM effects arises through cross-state variation and variation over time, as three states abolished CLM over the period examined in the CPS data. Labor supply effects of CLM availability are negative for married women: for instance, weekly hours of work are reduced by 1–2 hours. In addition, some CLM effects on married men’s labor supply are positive. Consequently, the abolition of CLM in some states helps explain the convergence of men and women’s labor supply. Negative CLM effects on married women’s labor supply are limited to white, Hispanic, college-educated women, and women with children. There is little evidence of effects of CLM on leisure and household production. A conceptual framework based on the concept of Work-In-Household, marriage market analysis, and the assumption of traditional gender roles helps explain gender differentials in the effects of CLM on labor supply and why these effects are larger for white and college-educated women.
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Marianne Johnson and Warren J. Samuels
“Economics is a Serious Subject.” Edwin Cannan.
Catherine Earl, Philip Taylor, Chris Roberts, Patrick Huynh and Simon Davis
Population ageing, coupled with economic uncertainty and a shifting workforce structure, has directed the attention of public and organizational policy makers toward the potential…
Abstract
Population ageing, coupled with economic uncertainty and a shifting workforce structure, has directed the attention of public and organizational policy makers toward the potential contribution of older workers and skilled migrants in meeting labor supply shortages in ageing populations. This chapter presents labor supply and demand scenarios for 10 OECD countries and examines trends in the labor force participation of older workers against the backdrop of changes to the nature of work in an era of globalization, casualization, and, increasingly, automation. Brief analysis of each country’s situation and policy responses indicates that China, Japan, and Korea stand out as being at particular risk of being unable to maintain growth without undertaking drastic action, although their areas of focus need to differ. A limitation of the study is that GDP projections used in labor demand analysis were based on historical rates and represented past potential and a long-run average of historic economic output. Future research might also undertake comparative analysis of case studies addressing different potential solutions to workforce ageing. A key implication of the study is that there is a need to take a blended approach to public policy regarding older workers in a changing labor market. Where migration has historically been a source of labor supplementation, this may become a less viable avenue over the near future. Future shortfalls in labor imply that economies will increasingly need to diversify their sources of workers in order to maintain economic growth. For public policy makers the challenge will be to overcome public antipathy to migration and longer working lives.
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One of the several claims that Seligman makes for Rooke is that he should be accorded priority in the discovery of the correct, that is Ricardian, doctrine of rent:there seems…
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One of the several claims that Seligman makes for Rooke is that he should be accorded priority in the discovery of the correct, that is Ricardian, doctrine of rent:there seems little doubt that the doctrine of rent was developed practically simultaneously by Malthus, West, Torrens and Rooke in 1814, but so far as the priority of actual publication is concerned, the above list should be reversed. And in the interests of historical accuracy, Rooke and Torrens must hereafter be accorded the position which they deserve. (Seligman, 1903, p. 512)1
While there has been intense debate in the empirical literature over the evolution of the college wage premium in the United States, its evolution in Europe has received little…
Abstract
While there has been intense debate in the empirical literature over the evolution of the college wage premium in the United States, its evolution in Europe has received little attention. This paper investigates the causes of the evolution of the college wage premium in 12 European countries from 1994 to 2009, assessing the relevance of the supply factor as a determinant of the college wage premium. I use cross-country variation in relative supply, demand, and labour market institutions to examine their effects on the trend in wage inequality. I address possible concerns of endogeneity of the relative supply using an IV strategy exploiting the differential legislations of university autonomy and their variations over time. Results show that the strong increase in the relative supply that European countries have experienced has decreased the college wage premium. The most relevant institution is the minimun wage, which significantly decreases college wage premium.
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