Wages are an element of cost crucially affecting the competitiveness of individual firms. But the wage bill is also a crucial element of aggregate demand. Hence it could be that more “flexible” and ...“fluid” labour markets, while allowing for faster inter-firm reallocation of labour, may also render the whole economic system more fragile, more prone to recession, and more volatile. In this work, we investigate some conditions under which such a conjecture applies. The paper presents an agent-based model that investigates the effects of two “archetypes of capitalism” – in terms of regimes of labour governance defined by the mechanisms of wage determination, firing, labour protection and productivity gains sharing – upon (i) labour market regularities and (ii) macroeconomic dynamics (long-term rates of growth, GDP fluctuations, unemployment rates, inequality, etc.). The model is built upon the “Keynes meets Schumpeter” family of models (Dosi et al., 2010), explicitly incorporating different microfounded labour market regimes. Our results show that seemingly more rigid labour markets and labour relations are conducive to coordination successes leading to higher and smoother growth.
. Over the past 30 years, the share of adult populations with college degrees increased more in cities with higher initial schooling levels than in initially less educated places. This tendency ...appears to be driven by shifts in labor demand as there is an increasing wage premium for skilled people working in skilled cities. In this article, we present a model where the clustering of skilled people in metropolitan areas is driven by the tendency of skilled entrepreneurs to innovate in ways that employ other skilled people and by the elasticity of housing supply.
Since the beginning of the 1980s, reforms of the labour market have been at the centre of political and economic debate in the European Union. While these reforms were implemented mainly with the aim ...of improving employment performance by removing structural issues, they may also have had non-secondary and non-negligible effects on the share of national income received by workers. The aim of this paper is to study the effects of the changes in the labour market regulation index (LMRI) on the wage share in twelve Eurozone countries between 2000 and 2019. The empirical results - obtained from the estimation of an error correction model (ECM) - show that: (i) an inverse relation exists between LMRI as a whole and adjusted wage share in the short run only; (ii) the reduction of the adjusted wage share depends mainly on two specific measures of flexibility: a more decentralized level of bargaining (the effects of which are significant in both long- and short-run periods) and a relaxation of the hiring and firing regulations (the effects of which are significant only in the short run); (iii) the economic growth and unemployment rate also contribute to the decline of the adjusted wage share.
•The key findings of our secondary quantitative analysis, revealed a strong correlation between educational level (especially related to medium-skilled young people) and precarious employment, which ...in its turn is associated with social vulnerability.•The qualitative research shows, that there is a clear tendency of general questioning of the education system and the entire educational mechanism by young people in relation to the degree matching the acquired (from the educational system) knowledge, skills and competences with the needs of the labor market and their adequacy and contribution to finding a job.•This skills mismatch is considered by young people to contribute to the reproduction of inequalities and to the intensity of the social vulnerability of the less socio-economically privileged.•A reshaped framework of labor market integration parameters is rising among youth, prioritizing the "degree of despair", work experience and informal social capital (in the form of acquaintances and networks).•The emerging, expanded and (often) forced, newly built work "normality" (with the frequent violation of the labour rights of precariously working young people) seems to lead to a reconstruction of "work ethics", with (irregular) labour norms prevailing.
Employability is undoubtedly critical for life chances, while is affected by the Economic Cries. During the last decade as well as in the begging of the new one, both the field of labour market and the working conditions have greatly affected by the impact of the back-to-back Crises, including the 2008 Economic Crisis and the ongoing Covid-19 pandemic. The abovementioned jointly with the mega-trend towards the digital economy have resulted in major modifications in the labour market, causing (among others), the gradual expansion of precarious work.
The present paper deals with the association among the educational capital, the precarious work and the social vulnerability, among Youth. Based on both secondary quantitative-data analysis and primary qualitative research, the paper briefly analyses the relevant state-of-play in the EU, while it focuses on the Greek case. Issues related to the correlation between educational capital/ level and precarious work, the reproduction of socio-economic inequalities via education, the role of skills mismatch in the employment status and prospects, the parameters and characteristics of precarious employment and its impact to young people’ life course and life chances (including social vulnerability and in-work poverty risk), are raised, among others.
I combine a regression discontinuity design with rich data on academic and labor market outcomes for a large sample of Florida students to estimate the returns to college admission for academically ...marginal students. Students with grades just above a threshold for admissions eligibility at a large public university in Florida are much more likely to attend any university than below-threshold students. The marginal admission yields earnings gains of 22% between 8 and 14 years after high school completion. These gains outstrip the costs of college attendance, and they are largest for male students and free-lunch recipients.
This paper examines the impact of education and labour market challenges on the income inequality in European Union (27 Member States) within the period 2012-2022, this being calculated using the ...Panel EGLS method. Even if the effects are clearly visible from a theoretical point of view, in the latest years there were not many authors focusing their studies on the effects of the unemployment and early dropout from school and training on income inequality. In this regard, updating the figures, the impact coefficients and the theoretical background increase the understanding of the statistical processes and their results in the new economic context. Our results confirmed a positive relationship between unemployment rate and income inequality (measured by Gini coefficient), this being also the highest impact found, but also a positive link between the early leavers from education and training rate and income inequality. In addition, we used additional variables to catch the current economic challenges that are related to demographic changes and high energy prices. In this context, we found positive effects exerted by housing cost overburden rate and old-age dependency ratio on income inequality. Even if the model is limited to four income inequality drivers, we have demonstrated that the calculated coefficients are the best linear unbiased estimators.
Young individuals have consistently constituted a distinctive group within the labour market. They have been and continue to be among the vulnerable categories affected by the changes in the labour ...market. Thereby, in contrast to previous economic crises, the crisis generated by the COVID-19 pandemic has impacted them more significantly and within a considerably shorter time frame. Nevertheless, the impact has varied among individuals, with socio-demographic factors like gender, educational level, residential environment, occupation, and digitalization level playing a crucial role in the observed disparities. In this context, utilizing data from Eurobarometers 91.5/2019 and 93.1/2020, the study aims to analyse how young individuals perceive the economic situation and the labour market issues both before and during the COVID-19 pandemic, emphasizing the differences that have arisen as a consequence of this crisis. The paper will also investigate variations in socio-demographic variables. The findings will add to existing research, seeking to comprehend the effects of the crisis resulting from the COVID-19 pandemic on young people in the labour market.
. Motivated by differences in new‐firm survival across regions, this paper explores the impact of regional human capital on new‐firm survival rates. New‐firm survival is interpreted through ...formation rates of surviving versus closed firms in the service sector. By incorporating knowledge spillovers through a geographical variation model for Labour Market Areas, we empirically test the relationship between regional human capital stocks and new‐firm survival. The expected positive relationship between regional human capital and new‐firm survival is supported for the period 1993–1995, but is not as strong for the recession period 1990–1992. Controlling for human capital, the new‐firm survival rate is negatively related to service sector specialisation and positively related to all‐industry intensity, suggesting that city size and diversity may be an important determinant of new‐firm survival in both periods.
. Motivado por las diferencias entre economías regionales en la supervivencia de nuevas empresas, este artículo explora el impacto del capital humano regional en las tasas de supervivencia de nuevas empresas. La supervivencia de nuevas empresas se interpreta a través de las tasas de formación de empresas supervivientes respecto de empresas que han cerrado en el sector servicios. Mediante la incorporación de spillovers (efectos derrame) de conocimiento en un modelo de variación geográfica para Áreas de Mercado Laboral, analizamos empíricamente la relación entre reservas de capital humano y la supervivencia de nuevas empresas. La esperada relación positiva entre el capital humano regional y la supervivencia de nuevas empresas es válida para el periodo 1993‐1995, pero no lo es tanto para el periodo de recesión 1990‐1992. Controlando la variable capital humano, la tasa de supervivencia de nuevas empresas esta relacionada negativamente con la especialización del sector servicios y positivamente relacionada a la intensidad del total de industrias, sugiriendo que el tamaño de la ciudad y la diversidad podría ser un factor determinante de la supervivencia de nuevas empresas en ambos periodos.
Private consumption is considered one of the main drivers of economic growth in Western Balkan countries. The main aim of this study is to estimate the impact of private consumption on the economic ...growth of the Western Balkans, including the North Macedonia, Kosovo, Albania, Montenegro, Bosnia and Herzegovina, and Serbia. Housing wealth was even the main driver of total private consumption in the European Union (EU) countries as a whole (Barradas, 2017). Based on an extensive literature review for panel data, this study uses econometric models with fixed effect, random effect, and Hausman-Taylor test. The data are taken from the World Development Indicators by country (The World Bank, n.d.) and cover the period 2010–2019. Based on the Hausman-Taylor test, the model that fits a small sample as in our case is chosen as the fixed effect. The results of the estimator show that a 1% increase in final consumption leads to a 0.43% increase in gross domestic product (GDP) growth and that, on the other hand, a 1% increase in the employment rate increases GDP by 0.11%. The most important domestic factor continues to be private consumption, driven by record levels in the labour market and further strengthening of household purchasing power (Bank of Slovenia, 2020). The study concludes that private consumption is the main driver of economic growth and sustainability in the case of the Western Balkans.
Has there been a “refugee crisis”? Brücker, Herbert; Kosyakova, Yuliya; Vallizadeh, Ehsan
Soziale Welt,
01/2020, Volume:
71, Issue:
1/2
Journal Article
Peer reviewed
Open access
Approximately 1.2 million refugees arrived in Germany between 2015 and 2016. The national and international public discourse surrounding the arrival of these refugees covers the full spectrum of ...opinions. These opinions range from sceptical assessments regarding the 2015 influx as a “refugee crisis” to optimistic appraisals considering the immigration of refugees to be a solution to demographic change and labour shortages. These views are often driven by ideology and emotions rather than grounded in evidence. In this paper, we use data from a unique, nationally representative household survey of refugees who came to Germany between 2013 and 2016 to describe who these refugees are, focusing particularly on demographic and skill characteristics relevant for their successful and sustainable economic integration. We also discuss German public policies and institutional environments to promote refugees’ integration. Our descriptive analysis shows that the processing of asylum applications and the overall provision of accommodations, safety-nets, and integration programs by German authorities have advanced the refugees’ integration process, although the initial shortcomings have been widespread. Over the years, German institutions have generally been open to helping refugees and other immigrants gain ground in Germany. However, there are still challenges for policymakers. One such issue is the gender gap that is reflected in the support for female refugees with childcare obligations, which delays their language acquisition and slows their integration. Nevertheless, the empirical evidence has – contrary to the expectations – given no indications that the influx of refugees in 2015 led to a “refugee crisis” in Germany.
Rund 1,2 Millionen Geflüchtete sind 2015 und 2016 nach Deutschland gekommen. Der nationale und internationale öffentliche Diskurs über die Aufnahme dieser Geflüchteten deckt das gesamte Meinungsspektrum ab. Diese Auffassungen reichen von der skeptischen Charakterisierung des Anstiegs der Fluchtmigration 2015 als „Flüchtlingskrise“ bis hin zu optimistischen Einschätzungen, wonach die Zuwanderung von Geflüchteten eine Lösung für den demografischen Wandel und den Arbeitskräftemangel darstellt. Diese Meinungen und Einschätzungen werden oft von Ideologie und Emotionen getrieben, sie sind in der Regel nicht durch Evidenz fundiert. In diesem Beitrag verwenden wir Daten aus einer einzigartigen, national repräsentativen Haushaltsbefragung von Geflüchteten, die zwischen 2013 und 2016 nach Deutschland gekommen sind. Auf dieser Grundlage beschreiben wir die Eigenschaften der Geflüchteten, insbesondere ihre demografischen Charakteristika und Qualifikationsmerkmale, die für eine erfolgreiche und nachhaltige wirtschaftliche Integration relevant sind. Wir diskutieren auch das institutionelle Umfeld und verschiedene Politiken in Deutschland in Hinblick auf ihre Rolle bei der Förderung der Integration. Unsere deskriptive Analyse zeigt, dass die Bearbeitung von Asylanträgen und die Bereitstellung von Unterkünften, die soziale Unterstützung und verschiedene Integrationsprogramme durch Politik und Verwaltung die Integration insgesamt vorangetrieben haben, obwohl zahlreiche Mängel anfangs weit verbreitet waren. Im Laufe der Jahre haben sich die Institutionen jedoch verstärkt dafür geöffnet, die Integration von Geflüchteten und anderen Migrantinnen und Migranten dabei zu unterstützen, in Deutschland Fuß zu fassen. Die Entscheidungsträger in Politik und Verwaltung stehen jedoch weiterhin vor erheblichen Herausforderungen. Ein solches Problem sind die Genderdifferenzen in verschiedenen Dimensionen der Integration, die unter anderem auf der geschlechtsspezifischen Arbeitsteilung bei der Betreuung von Kindern beruhen und den Spracherwerb und andere Fortschritte bei der Integration von Frauen behindern. Die empirische Evidenz bietet jedoch, im Unterschied zu vielfältig geäußerten Erwartungen, keine Hinweise darauf, dass die Zuwanderung von Asylbewerberinnen und -bewerber im Jahr 2015 zu einer „Flüchtlingskrise“ in Deutschland geführt hat.
PDF
