Category Archives: Discussion Paper

COVID-19 and Children’s School Resilience: Evidence from Nigeria. A new GLO Discussion Paper by GLO Fellow Luca Tiberti and colleagues.

A new GLO Discussion Paper finds that COVID-19 lockdown measures reduced children’s probability of attending school and exacerbated harmful traditional practices such as child marriage.

GLO Discussion Paper No. 952, 2021

COVID-19 and Children’s School Resilience: Evidence from Nigeria Download PDF
by Dessy, Sylvain & Gninafon, Horace & Tiberti, Luca & Tiberti, Marco

GLO Fellow Luca Tiberti

Author Abstract: This paper analyzes the impact of COVID-19 lockdown measures on children’s school resilience. Using an individual fixed-effect linear probability model on Nigeria data, it exploits the quasi-randomness of these measures to estimate their effect on school attendance after the lockdown was lifted. The results show that COVID-19 lockdown measures reduced children’s probability of attending school after the school system reopened. This negative impact increased with children’s age, reaching a peak among those whose education was no longer compulsory. For schoolchildren in that age group, the negative effect of COVID-19 lockdown measures is likely to be permanent, which, if not reversed, will undermine the quality of the economy-wide future labor force. The paper also finds evidence that, in the child marriageprone North-West part of Nigeria, these measures increased gender inequality in education among children aged 12 to 18. This result suggests that COVID-19 lockdown measures may exacerbate harmful traditional practices such as child marriage.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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On the Tragedy of Mass Shooting: the Crime Effects. A new GLO Discussion Paper by GLO Fellow Christian Gunadi.

A new GLO Discussion Paper suggests that mass shooting incidents are associated with a rise in crimes in general, especially those carried out for monetary gains.

GLO Discussion Paper No. 951, 2021

On the Tragedy of Mass Shooting: the Crime Effects Download PDF
by Gunadi, Christian

GLO Fellow Christian Gunadi

Author Abstract: Recent years have seen a rise in mass shooting incidents in the United States. While direct victims and their families undoubtedly suffer the most serious consequence of mass shootings, little is known on whether mass shootings have negative impacts beyond those immediately exposed to the incidents. In this paper, I examine the crime consequences of mass shootings. I hypothesize that mass shootings can increase crimes through its adverse effects on local labor market conditions. Utilizing difference-in-differences strategy that exploits geographic and temporal variation in mass shooting incidents across U.S. counties, the results of the analysis suggest that mass shooting incident is associated with a rise in crimes, especially those carried out for monetary gains. The most conservative estimate indicates that mass shooting incident increases the overall property crime rate by about 4%.

Featured image: JR-Korpa-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Climate Shocks, Migration, and Labor Markets: A Gender Analysis from West Africa. A new GLO Discussion Paper by GLO Fellow Nelly El-Mallakh & Quentin Wodon.

A new GLO Discussion Paper finds that climate shocks may disrupt long-standing gender roles.

GLO Discussion Paper No. 950, 2021

Climate Shocks, Migration, and Labor Markets: A Gender Analysis from West Africa Download PDF
by Elmallakh, Nelly & Wodon, Quentin

GLO Fellow Nelly El-Mallakh

Author Abstract: This paper investigates the effects of shocks, predominantly climate shocks, on labor market outcomes in the West African Economic and Monetary Union (WAEMU). We focus on migration ows within the WAEMU countries to disentangle the differential effects of shocks on migrants and non-migrants. Our analysis combines survey data from Ivory Coast|as the main migrant receiving country|and from all the other 7 migrant sending countries of the WAEMU. Using an OLS fixed effects model, our results show that migration in the WAEMU is associated with a decline in female labor participation, as it is primarily motivated by marriage. However, we find an increase in female labor force participation and a narrowing of the gender gap in migrant households that are negatively affected by shocks. Our findings relate to the literature on the impact of shocks on the labor division between women and men and show that shocks may disrupt long-standing gender roles. The results are robust to accounting for the double selection into shocks and migration using a Propensity Score Matching technique that allows for a within comparison between treated and untreated units.

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GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

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Do Refugees with Better Mental Health Better Integrate? Evidence from the Building a New Life in Australia Longitudinal Survey. A new GLO Discussion Paper by GLO Fellows Hai-Anh Dang & Paolo Verme, and Trong-Anh Trinh.

A new GLO Discussion Paper finds large consequences for labor market performance of refugees and children wellbeing.


GLO Discussion Paper No. 949, 2021

Do Refugees with Better Mental Health Better Integrate? Evidence from the Building a New Life in Australia Longitudinal Survey Download PDF
by Dang, Hai-Anh H. & Trinh, Trong-Anh & Verme, Paolo

GLO Fellows Hai-Anh Dang & Paolo Verme

Author Abstract: Hardly any evidence currently exists on the causal effects of mental illness on refugee labor market outcomes. We offer the first study on this topic in the context of Australia, one of the host countries with the largest number of refugees per capita in the world. Analyzing the Building a New Life in Australia longitudinal survey, we exploit the variations in traumatic experiences of refugees interacted with time as an instrument for refugee mental health. We find that worse mental health, as measured by a one standard deviation increase in the Kessler mental health score, reduces the probability of employment by 14.1% and labor income by 26.8%. We also find some evidence of adverse impacts of refugees’ mental illness on their children’s mental health and education performance. These effects appear more pronounced for refugees that newly arrive or are without social networks, but they may be ameliorated with government support. Our findings suggest that policies that target refugees’ mental health may offer a new channel to improve their labor market outcomes.

Featured image: Photo-by-Ra-Dragon-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Equivalence scale and income poverty: Two approaches to estimate country-specific scale for the Czech Republic. A new GLO Discussion Paper by GLO Fellow Tomas Zelinsky & colleagues.

A new GLO Discussion Paper studies approaches to to transform household income to an equivalent for individuals.

Tomas Zelinsky


GLO Discussion Paper No. 948, 2021

Equivalence scale and income poverty: Two approaches to estimate country-specific scale for the Czech Republic Download PDF
by Mysíková, Martina & Želinský, Tomáš & Jirková, Michaela & Večerník, Jiří

GLO Fellow Tomas Zelinsky

Author Abstract: The at-risk-of-poverty rate, the relative income poverty indicator applied in the EU, can be highly sensitive to the equivalence scale used to transform household income to an equivalent for individuals. This study applies two well-established approaches to estimate the equivalence scale: an ‘objective’ one, based on consumption expenditures available in the national Household Budget Survey, and a ‘subjective’ one, based on the Minimum Income Question available in EU-Statistics on Income and Living Conditions data. The aim is to contrast the two estimated equivalence scales in the Czech Republic in the 2006-2016 period with the OECD-modified scale applied uniformly for decades across the EU countries. Our findings suggest that the adult weight in the equivalence scale is decreasing over time, while the child weight is relatively stable under both approaches. The estimated weights are lower than the officially applied ones, with the exception of the expenditure-based adult weight, which is very close to the OECD-modified weight. Applying the estimated scales affects the income poverty rate and leads to different rates than the official ones: while the trend of the rates is similar when the two estimated scales are used, the official income poverty rate deviates from those two.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Forest Behind the Tree: Heterogeneity in How US Governor’s Party Affects Black Workers. A new GLO Discussion Paper by GLO Fellow Guy Tchuente and colleagues.

A new GLO Discussion Paper examines the impact of U.S governor’s party allegiance (Republican vs Democrat) on the ethnic wage gap to show that the vast majority of subgroups of black workers earnings are not affected by democrat governors’ policies.

Guy Tchuente


GLO Discussion Paper No. 947, 2021

The Forest Behind the Tree: Heterogeneity in How US Governor’s Party Affects Black Workers Download PDF
by Tchuente, Guy & Kakeu, Johnson & Francois, John Nana

GLO Fellow Guy Tchuente

Author Abstract: Income inequality is a distributional phenomenon. This paper examines the impact of U.S governor’s party allegiance (Republican vs Democrat) on ethnic wage gap. A descriptive analysis of the distribution of yearly earnings of Whites and Blacks reveals a divergence in their respective shapes over time suggesting that aggregate analysis may mask important heterogeneous effects. This motivates a granular estimation of the comparative causal effect of governors’ party affiliation on labor market outcomes. We use a regression discontinuity design (RDD) based on marginal electoral victories and samples of quantiles groups by wage and hours worked. Overall, the distributional causal estimations show that the vast majority of subgroups of black workers earnings are not affected by democrat governors’ policies, suggesting the possible existence of structural factors in the labor markets that contribute to create and keep a wage trap and/or hour worked trap for most of the subgroups of black workers. Democrat governors increase the number of hours worked of black workers at the highest quartiles of earnings. A bivariate quantiles groups analysis shows that democrats decrease the total hours worked for black workers who have the largest number of hours worked and earn the least. Black workers earning more and working fewer hours than half of the sample see their number of hours worked increase under a democrat governor.

Related paper in the Journal of Population Economics, ONLINE FIRST 2021, FREE READ LINK: The effect of the 2016 United States presidential election on employment discrimination by Marina Mileo Gorzig & Deborah Rho

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Public procurement and supplier job creation: Insights from auctions. A new GLO Discussion Paper by GLO Fellow Stjepan Srhoj and Melko Dragojević.

A new GLO Discussion Paper studies sealed-bid public procurement contract (PPC) auctions of construction works, discontinuity in bidders’ win margin and firms’ daily employment variation to provide a causal estimate of winning a PPC on firms’ employment.

Stjepan Srhoj


GLO Discussion Paper No. 946, 2021

Public procurement and supplier job creation: Insights from auctions Download PDF
by Srhoj, Stjepan & Dragojević, Melko

GLO Fellow Stjepan Srhoj

Author Abstract: Public procurement contracts (PPCs) of goods, services and works is about one tenth of global gross domestic product. Much research has been conducted on government spending and its aggregate effects, but evidence is scarce at the micro-level. This study exploits sealed-bid PPC auctions of construction works, discontinuity in bidders’ win margin and firms’ daily employment variation to provide a causal estimate of winning a PPC on firms’ employment. Winning a PPC has a small positive impact on a firm’s short-run employment. The study investigates mechanisms and heterogeneity that can explain the initial small magnitudes. No compelling evidence is found in favour of political connections, an information leakage channel or PPC size as explanations for the small magnitude. A investigation of longer period shows the impact phases out in less than a year. The lack of a long-term impact is due to runners-up winning more PPCs and runners-up substituting towards more market revenue in the year after closely losing a PPC. Finally, the impacts are concentrated in construction firms that conduct the majority of contracted work in-house. The final estimation shows the effect is about four new employees per PPC with a public cost per job created at €45,200 [€34,200 – €66,200].

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Inequality in Electricity Consumption and Economic Growth: Evidence from a Small Area Estimation Study. A new GLO Discussion Paper by GLO Fellow Cuong Nguyen and colleagues.

A new GLO Discussion Paper shows evidence of a large spatial heterogeneity in the electric power consumption between districts and provinces in Vietnam.

Cuong Nguyen


GLO Discussion Paper No. 945, 2021

Inequality in Electricity Consumption and Economic Growth: Evidence from a Small Area Estimation Study Download PDF
by Nguyen, Cuong Viet & Nguyen, Khuong Duc & Tran, Tuyen Quang

GLO Fellow Cuong Nguyen

Author Abstract: Our study uses a small area estimation method to estimate the average and inequality of per capita kWh consumption for small areas in Vietnam. It shows evidence of a large spatial heterogeneity in the electric power consumption between districts and provinces in Vietnam. Households in the mountains and highlands consumed remarkably less electricity than those in the delta and coastal areas. Notably, we find a U-shaped relationship between the inequality of electricity consumption and economic levels in Vietnam. In poor districts and provinces, there is very high inequality in electricity consumption. Inequality is lower in middle-income districts and provinces.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Mind the Gap. A new GLO Discussion Paper by GLO Fellow Dean Jolliffe and colleagues.

A new GLO Discussion Paper finds substantial and rising gaps in the measurement of consumption and income based on household surveys and national accounts data.


GLO Discussion Paper No. 944, 2021

Mind the Gap Download PDF
by Prydz, Espen Beer & Jolliffe, Dean & Serajuddin, Umar

GLO Fellow Dean Jolliffe

Author Abstract: Estimates of average per capita consumption and income from national accounts differ substantially from corresponding measures of consumption and income from household surveys. Using a new compilation of more than 2,000 household surveys matched to national accounts data, we find that the gaps between the data sources are larger and more robust than previously established. Means of household consumption estimated from surveys are, on average, 20 percent lower than corresponding means from national accounts. The gap with GDP per capita is nearly 50 percent. The gaps have increased in recent decades and are largest in middle-income countries, where annualized growth rates for consumption surveys are systematically lower than national accounts growth rates. We show that the gaps in measures across these two sources have implications for assessments of economic growth, poverty, and inequality. We find that typical survey measures of consumption and income may exaggerate poverty reduction and underestimate inequality.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Happiness in the Lab: What Can Be Learned about Subjective Well-Being from Experiments? A new GLO Discussion Paper by GLO Fellow John Ifcher and colleagues.

A new GLO Discussion Paper explores the important contributions that happiness-in-the-lab experiments can make to the debates about stylized facts by testing the causality of the relationships.


GLO Discussion Paper No. 943, 2021

Happiness in the Lab: What Can Be Learned about Subjective Well-Being from Experiments? Download PDF
by Ifcher, John & Zarghamee, Homa & Goff, Sandra H.

GLO Fellow John Ifcher

Author Abstract: The recent surge in analyses of subjective well-being (SWB) and the economics of happiness using large observational datasets has generated stylized facts about the relationship between SWB and various correlates. Because such studies are mostly concerned with the determinants of SWB, the modeling utilized assumes SWB to be the dependent variable. Often, selection effects, reverse causality, and omitted variable bias cannot adequately be controlled for, calling many of the stylized facts into question. This chapter explores the important contributions that happiness-in-the-lab experiments can make to the debates about stylized facts by testing the causality of the relationship between SWB and its correlates. A distinction is made between happiness-in-the-lab experiments in which SWB is a dependent versus independent variable, and methods for both types of experiments are discussed, along with a discussion of the limitations inherent in such experiments. The extant happiness-in-the-lab literature is reviewed and future directions for happiness-in the-lab research are proposed. The important role that happiness-inthe- lab experiments can play in the development of national SWB accounting is emphasized.

Featured image: Photo-by-Elijah-Hail-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Robots For Economic Development. A new GLO Discussion Paper by Massimiliano Calì and GLO Fellow Giorgio Presidente.

A new GLO Discussion Paper shows significant productivity and employment gains from automation in Indonesian manufacturing.



GLO Discussion Paper No. 942, 2021

Robots For Economic Development Download PDF
by Calì, Massimiliano & Presidente, Giorgio

GLO Fellow Giorgio Presidente

Author Abstract: Recent evidence suggests that automation technologies entail a trade-off between productivity gains and employment losses for the economies that adopt them. This paper casts doubts on this trade-off in the context of a developing country. It shows significant productivity and employment gains from automation in Indonesian manufacturing during the years 2008-2015, a period of rapid increase in robot imports. Analysis based on manufacturing plant data provides evidence of two plausible reasons for the absence of this trade-off. First, it documents the presence of diminishing productivity returns to robot adoption. As a result, the benefits from automation could be particularly large for countries at early stages of adoption, such as Indonesia. Second, the analysis finds significant positive employment spillovers from automation in downstream plants. Such effects are likely larger in countries such as Indonesia, where the foreign content of manufacturing production is low. Suggestive evidence indicates such results could apply to developing countries more generally.

Featured image: Photo-by-Alex-Knight-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Institutions, Holdup and Automation. A new GLO Discussion Paper by GLO Fellow Giorgio Presidente.

A new GLO Discussion Paper documents a positive relationship between labor-friendly institutions and investment in industrial robots.



GLO Discussion Paper No. 941, 2021

Institutions, Holdup and Automation Download PDF
by Presidente, Giorgio

GLO Fellow Giorgio Presidente

Author Abstract: What drives investment in automation technologies? This paper documents a positive relationship between labor-friendly institutions and investment in industrial robots in a sample of developing and advanced economies. Institutions explain a substantial share of cross-country variation in automation. The relationship between institutions and robots is stronger in sunk cost-intensive industries, where producers are vulnerable to holdup. The result suggests that one reason for producers to invest in automation is to thwart rent appropriation by labor. As a consequence, policies aimed at supporting workers’ welfare by increasing their bargaining power might actually reduce their employment opportunities.

Featured image: Photo-by-Alex-Knight-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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A contribution to the theory of R&D investments. A new GLO Discussion Paper by GLO Fellow Luca Gori and colleagues.

A new GLO Discussion Paper suggests that introducing public subsidies aimed at favoring R&D disclosure represents a win-win result for firms and society.

GLO Discussion Paper No. 940, 2021

A contribution to the theory of R&D investments Download PDF
by Buccella, Domenico & Fanti, Luciano & Gori, Luca

GLO Fellow Luca Gori

Author Abstract: This research contributes to the theory of cost-reducing R&D investments by offering a tractable three-stage non-cooperative Cournot duopoly game in which R&D-investing firms choose whether to disclose R&D-related information to the rival. Though in a noncooperative context firms have no incentive to unilaterally disclose information on their costreducing R&D activity to prevent the rival from freely appropriate it, this work shows that there is room for the government to design an optimal policy aimed at incentivising unilaterally each owner towards R&D disclosure. Under this welfare improving policy, sharing R&D-related information becomes a Pareto efficient Nash equilibrium strategy of selfish firms. These findings suggest that introducing public subsidies aimed at favouring R&D disclosure represents a win-win result, eliminating the so far established – and unpleasant for both firms and society – non-disclosing outcome.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Leveraging technology to promote women’s health: Evidence from a pilot program. A new GLO Discussion Paper by GLO Affiliate Sadia Hussain and colleagues.

A new GLO Discussion Paper observes a positive impact of telehealth services on self-reported physical and mental health.

GLO Discussion Paper No. 939, 2021

Leveraging technology to promote women’s health: Evidence from a pilot program Download PDF
by Ahmad, Hamna & Hussain, Sadia & Nazif, Muhammad Ahmed

GLO Affiliate Sadia Hussain

Author Abstract: We investigate the causal impact of offering telehealth services to female microfinance borrowers on their health and bargaining power in the household. Using a balanced panel of 1218 female borrowers, we observe a positive impact of offering telehealth services on self-reported physical and mental health of treated relative to control women. Treated women seek healthcare more proactively; they are more likely to consult a doctor and they do so sooner, as compared to control women. In addition, treated women report greater inclusion in household decision-making. We also find positive spillover effects of offering telehealth services within the household, where we observe a greater likelihood of the spouse and children (of treated women) to seek health care.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Unemployment transitions and the role of minimum wage: from pre-crisis to crisis and recovery. A new GLO Discussion Paper by GLO Fellows Eirini Andriopoulou & Alexandros Karakitsios.

A new GLO Discussion Paper finds only a very small or insignificant impact of changes in the real minimum wage on unemployment entries and exits in Greece.

Eirini Andriopoulou

GLO Discussion Paper No. 937, 2021

Unemployment transitions and the role of minimum wage: from pre-crisis to crisis and recovery Download PDF
by Andriopoulou, Eirini & Karakitsios, Alexandros

GLO Fellows Eirini Andriopoulou & Alexandros Karakitsios

Author Abstract: During the last decade, unemployment in Greece climbed up to 28%, almost quadrupling due to the economic crisis that hit Greece. In the present paper, we examine the determinants of the unemployment dynamics and the impact of the minimum wage on the probability of making a transition into and out of unemployment. We use micro-level data from the Greek Labour Force Survey for the period 2004-2019 and control for several demographic factors, macro-economic conditions, regional differences and changes in statutory minimum wage. The results suggest that individual-level characteristics play an important role in making a transition into or out of unemployment. Changes in the real minimum wage are estimated to have either a statistically insignificant or a very small impact on unemployment entries and exits. Further, the impact of economy’s growth rate follows the theoretical predictions as higher growth rates increase unemployment outflows and decrease inflows, while the regional differences are also important. Our findings persist even when we split the sample in three periods (pre-crisis, crisis, recovery). The results have important policy implications. Given that the disemployment effect of the minimum wage seems to be very limited in the Greek labour market, while the socioeconomic characteristics and regional characteristics play an important role, improving the skills of individuals through the educational system and reskilling or up-skilling programs, while targeting specific regions, may facilitate labour market mobility.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Social Rejection, Family Acceptance, Economic Recession and Physical and Mental Health of Sexual Minorities. A new GLO Discussion Paper by GLO Fellow Nick Drydakis.

A new GLO Discussion Paper studies determinants of self-rated physical and mental health of sexual minorities. Among other factors, increased aggregate unemployment deteriorates physical and mental wellbeing.

GLO Discussion Paper No. 936, 2021

Social Rejection, Family Acceptance, Economic Recession and Physical and Mental Health of Sexual Minorities Download PDF
by Drydakis, Nick

GLO Fellow Nick Drydakis

Author Abstract: Utilizing two panel datasets covering the periods 2013-2014 and 2018-2019, the study examines whether social rejection, family acceptance, and economic conditions bear an association with self-rated physical and mental health of sexual minorities. Social rejection bears a negative association with physical and mental health. Family acceptance shares a positive association with physical and mental health. Periods characterized by worse economic conditions (2013-2014 versus 2018-2019) correlate with a decline in sexual minorities’ physical and mental health. It is found that women, trans people, people without higher education degrees, unemployed people, and relatively poor people, experience worse physical and mental health than the corresponding reference categories. The study indicates that sexual minorities who experienced societal rejections, such as unfair treatment in educational, workplace environments, and/or services (public/health) prompted deteriorated physical and mental health. Sexual minorities who experienced acceptance from their families over their sexual orientation status, experienced better physical and mental health. Moreover, during periods of increased aggregate unemployment, the physical and mental health status of sexual minorities was deteriorated. Antidiscrimination policies help reduce homophobic incidents and positively impact sexual/gender identity minorities’ progression, self-esteem, income, and well-being. Public health services should ensure that policies are inclusive of the physical and mental health needs of sexual/gender identity minority groups. Addressing financial hardships for minority population groups should form part of the policymakers’ agenda. This is among the first international studies to examine whether, during a period of economic recession, sexual minorities experience deteriorated physical and mental health.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Caste, Courts and Business. A new GLO Discussion Paper by GLO Fellows Tanika Chakraborty, Anirban Mukherjee & Sarani Saha and Divya Shukla.

A new GLO Discussion Paper studies the role of formal institutions of contract enforcement in facilitating investments in small and medium firms in India.

GLO Discussion Paper No. 935, 2021

Caste, Courts and Business Download PDF
by Chakraborty, Tanika & Mukherjee, Anirban & Saha, Sarani & Shukla, Divya

GLO Fellows Tanika Chakraborty, Anirban Mukherjee & Sarani Saha

Author Abstract: We study the role of formal institutions of contract enforcement in facilitating investments in small and medium firms(MSME). In a framework where established entrepreneurs can enforce contracts informally using their network ties and hierarchical advantage, we argue that an efficient formal judiciary helps entrepreneurs without any ties to informal business networks, disproportionately more. We test our theoretical prediction using a novel administrative panel-data from Indian courts and the nationally representative MSME survey data. Empirically, we treat entrepreneurs from disadvantaged castes (SC-ST) as those without traditional business-network ties. We find that improvement in court quality has a disproportionately larger impact on the investment decisions of SC-ST entrepreneurs. On average, if the time taken for a court to clear all existing cases reduces by 1 year, the initial gap in the probability of investing, between SC-ST and other entrepreneurs, gets reduced by 0.6-0.7 percentage points.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

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Labor-Management Relations and Varieties of Capitalism. A new GLO Discussion Paper by GLO Fellow Martin Schneider.

The new GLO Discussion Paper studies the linkages between the institutional environment and labor-management relations.

GLO Discussion Paper No. 934, 2021

Labor-Management Relations and Varieties of Capitalism Download PDF
by Schneider, Martin R.

GLO Fellow Martin Schneider

Martin Schneider

Author Abstract: The varieties-of-capitalism (VoC) approach distinguishes liberal market economies (LMEs) such as the USA and coordinated market economies (CMEs) such as Germany based on institutional differences in terms of corporate governance, industrial relations, company relations as well as education and training. According to the VoC approach, firms differ in the ways in which they combine market and non-market mechanisms to coordinate their activities. Firms in LMEs are considered to rely more on market or exit mechanisms than firms in CMEs, which more often complement market with non-market or voice mechanisms. This chapter summarizes what has been learned from the VoC approach on the linkages between the institutional environment and labor-management relations. Various important lessons can be drawn. Employment protection legislation is a productive element within the institutional setup of CMEs. LMEs tend to induce strong overall wage dispersion, whereas in some CMEs such as Germany the labor market performance varies markedly by skill type and gender. The recent literature also indicates that the institutional setup is more complex than the VoC approach suggests, calling for revisions to the approach. In particular, some countries are hybrid economies that combine elements of both types of capitalism. The CME-LME dichotomy does not appreciate the true variety of country-specific skill systems. Finally, multinational enterprises overcome institutional boundaries of different types of capitalism in ways that were not included in the original VoC approach.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

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Economics of Marriage Bars. A new GLO Discussion Paper by GLO Fellows Irene Mosca & Robert E. Wright.

A new GLO Discussion Paper studies the history and effects of marriage bars, the requirement that women working in certain jobs must leave that job when they marry.

GLO Discussion Paper No. 933, 2021

Economics of Marriage Bars Download PDF
by Mosca, Irene & Wright, Robert E

GLO Fellows Irene Mosca & Robert E Wright

Irene Mosca

Author Abstract: A Marriage Bar is the requirement that women working in certain jobs must leave that job when they marry. In the twentieth century, Marriage Bars were not unusual internationally. In the late 1800s to early 1900s, legislative provisions that required women to resign at marriage were introduced in several countries around the world, including Australia, Canada, Ireland, the Netherlands and the UK. Spill-overs to jobs not strictly covered by the Marriage Bar were also common. This chapter critically reviews, from an economics perspective, the background, the history and the impacts of Marriage Bars. This chapter has four aims. The first is to summarise the arguments provided by government officials and employers to justify both the introduction and the retention of Marriage Bars. The second is to provide a cross-country comparison of Marriage Bars. The third is to investigate the potential impacts of the Marriage Bar on women’s behavior with respect to employment, marriage and education. The fourth is to highlight potential avenues for future research. Although Marriage Bars do not exist anymore, they are still a serious topic of current debate. Much more can be learned about important topics, such as discrimination, from carrying out research focused on Marriage Bars.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Legacies of the Soviet Influence in the 1950s: China’s 156 Major Industrial Projects. A new GLO Discussion Paper by GLO Fellow Zhangfeng Jin.

A new GLO Discussion Paper finds disadvantages of Soviet-aided industrialization programs for long-run innovations.

GLO Discussion Paper No. 932, 2021

The Legacies of the Soviet Influence in the 1950s: China’s 156 Major Industrial Projects Download PDF
by Jin, Zhangfeng

GLO Fellow Zhangfeng Jin

Author Abstract: This paper investigates whether and how China’s adoption of Soviet-aided industrialization programs in the 1950s has affected its long-run innovation. Focusing on 156 major industrial projects aided by the Soviet Union, combined with an instrumental variable approach, I find that the adoption of these programs substantially discourages local firms to innovate in the long run. A causal mediation analysis of instrumental variable settings shows that the negative effect is entirely driven by local firms’ lower intensity of incentive pay. This evidence suggests disadvantages of Soviet-aided industrialization programs for long-run innovation due to firms adopting incentive-incompatible management technology.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Longing for Which Home: Evidence from Global Aspirations to Stay, Return or Migrate Onwards. A new GLO Discussion Paper by Els Bekaert, Amelie F. Constant, Killian FOUBERT & Ilse Ruyssen.

A new GLO Discussion Paper reveals selection in characteristics, a strong role for soft factors like social ties and sociocultural integration, and a faint role for economic factors.

GLO Discussion Paper No. 930, 2021

Longing for Which Home: Evidence from Global Aspirations to Stay, Return or Migrate Onwards Download PDF
by Bekaert, Els & Constant, Amelie F. & Foubert, Killian & Ruyssen, Ilse

GLO Fellows Amelie F. Constant & Ilse Ruyssen, and GLO Affiliate Killian FOUBERT

Author Abstract: Aspirations provide the underlying dynamics of the behavior of individuals whether they are realized or not. Knowledge about the characteristics and motives of those who aspire to leave the host country is key for both host and home countries to formulate appropriate and effective policies in order to keep their valued immigrants or citizens and foster their (re-)integration. Based on unique individual-level Gallup World Polls data, a random utility model, and a multinomial logit we model the aspirations or stated preferences of immigrants across 138 countries worldwide. Our analysis reveals selection in characteristics, a strong role for soft factors like social ties and sociocultural integration, and a faint role for economic factors. Changes in circumstances in the home and host countries are also important determinants of aspirations. Results differ by the host countries’ level of economic development.

Featured image: joshua-hoehne-on-unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Act Early to Prevent Infections and Save Lives: Causal Impact of Diagnostic Efficiency on the COVID-19 Pandemic. A new GLO Discussion Paper by GLO Fellow Zhangfeng Jin and colleagues.

A new GLO Discussion Paper shows for China that a 1-day decrease in the time taken to confirm the first case in a city publicly led to 9.4% and 12.7% reductions in COVID-19 prevalence and mortality over the subsequent six months.

GLO Discussion Paper No. 931, 2021

Act Early to Prevent Infections and Save Lives: Causal Impact of Diagnostic Efficiency on the COVID-19 Pandemic Download PDF
by Chen, Simiao & Jin, Zhangfeng & Vollmer, Sebastian & Bärnighausen, Till & David E. Bloom

GLO Fellow Zhangfeng Jin

Zhangfeng Jin

Author Abstract: This paper examines the causal impact of diagnostic efficiency on the COVID-19 pandemic in China. Using an instrumental variable approach, we show that a 1-day decrease in the time taken to confirm the first case in a city publicly led to 9.4% and 12.7% reductions in COVID-19 prevalence and mortality over the subsequent six months, respectively. The impact was larger for cities that are farther from the COVID-19 epicenter, are exposed to less migration, have more responsive public health systems, and have higher-capacity utilization of health systems. Social distancing and a less burdened health system are likely underlying mechanisms.

Featured image: Photo-by-Adli-Wahid-on-Unsplash

More from the GLO COVID-19 Cluster.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study. A new GLO Discussion Paper by GLO Fellow Aysit Tansel and colleagues.

A new GLO Discussion Paper concludes that the relationship between all prominent growth indicators and BMI is inverse U-shaped.

GLO Discussion Paper No. 929, 2021

The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study Download PDF
by Tansel, Aysit & Öztürk, Ceyhan & Erdil, Erkan

GLO Fellow Aysit Tansel

Author Abstract: We examine the relationship between wealth and health through prominent growth indicators and cognitive ability. Cognitive ability is represented by nutritional status. In this study, the proxy variable for nutritional status is BMI since there is a strong relationship between cognitive ability and nutrition. We use the reduced form equation in the cubic specification of time preference rate to estimate this relationship. We assume that the time preference rate is one of the outputs of cognitive ability. The growth indicators utilized are GDP per capita, schooling, overall and manufacturing productivities, and savings. We estimate our models using the FE, GMM estimators, and long difference OLS and IV estimation through balanced panel data for 47 countries for the 1980-2009 period, which is a representative period of the neo-liberal and globalization economic policy implications. Furthermore, by using the 1980-2009 period, we may eliminate the ripple effects of the 2007-2009 financial crisis. Although there is ample evidence that the association between GDP per capita, overall and manufacturing productivities, and BMI could be cubic, we take the results of the long-difference quadratic specification into consideration and conclude that the relationship between all prominent growth indicators and BMI is inverse U-shaped. In other words, cognitive ability has a significant potential to progress growth and economic development only in a healthy status.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Robots and Labor Regulation: A Cross-Country/Cross-Industry Analysis. A new GLO Discussion Paper by GLO Fellow Silvio Traverso & colleagues.

A new GLO Discussion Paper finds that high levels of statutory employment protection is negatively associated with robot adoption, but firms also use industrial robots as potential substitutes for workers to reduce employees’ bargaining power.

GLO Discussion Paper No. 928, 2021

Robots and Labor Regulation: A Cross-Country/Cross-Industry Analysis Download PDF
by Traverso, Silvio & Vatiero, Massimiliano & Zaninotto, Enrico

GLO Fellow Silvio Traverso

Silvio Traverso

Author Abstract: This work discusses and empirically investigates the relationship between labor regulation and robotization. In particular, the empirical analysis focuses on the relationship between the discipline of workers’ dismissal and the adoption of indus- trial robots in nineteen Western countries over the 2006{2016 period. We find that high levels of statutory employment protection have been negatively associated with robot adoption, suggesting that labor-friendly national legislations, by increasing adjustment costs (such as firing costs), and thus making investment riskier, provide less favorable environments for firms to invest in industrial robots. We also find, however, that the correlation is positively mediated by the sectoral levels of capital intensity, a hint that firms do resort to industrial robots as potential substitutes for workers to reduce employees’ bargaining power and to limit their hold-up opportunities, which tend to be larger in sectors characterized by high levels of operating leverage.

Photo-by-Alex-Knight-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Economics of Walking About and Predicting Unemployment. A new GLO Discussion Paper by GLO Fellow David G. Blanchflower & Alex Bryson.

A new GLO Discussion Paper suggests that fear of unemployment predicts subsequent changes in unemployment.

GLO Discussion Paper No. 922, 2021

The Economics of Walking About and Predicting Unemployment Download PDF
by Blanchflower, David G. & Bryson, Alex

GLO Fellow David G. Blanchflower

Background paper to the keynote address of Danny Blanchflower to the EBES 37 & GLO Berlin conference. More information: LINK.

Danny Blanchflower

Author Abstract: Unemployment is notoriously difficult to predict. In previous studies, once country fixed effects are added to panel estimates, few variables predict changes in unemployment rates. Using panel data for 29 European countries – Austria; Belgium; Bulgaria; Croatia; Cyprus; Czechia; Denmark; Estonia; Finland; France; Germany; Greece; Hungary; Ireland; Italy; Latvia; Lithuania; Luxembourg; Malta; Netherlands; Poland; Portugal; Romania; Slovakia; Slovenia; Spain; Sweden; Turkey and the UK – over 439 months between January 1985 and July 2021 in an unbalanced country*month panel of just over 10000 observations, we predict changes in the unemployment rate 12 months in advance based on individuals’ fears of unemployment, their perceptions of the economic situation and their own household financial situation. Fear of unemployment predicts subsequent changes in unemployment 12 months later in the presence of country fixed effects and lagged unemployment. Individuals’ perceptions of the economic situation in the country and their own household finances also predict unemployment 12 months later. Business sentiment (industry fear of unemployment) is also predictive of unemployment 12 months later. The findings underscore the importance of the “economics of walking about”. The implication is that these social survey data are informative in predicting economic downturns and should be used more extensively in forecasting. We also generate a 29 country-level annual panel on life satisfaction from 1985-2020 from the World Database of Happiness and show that the consumer level fear of unemployment variable lowers wellbeing over and above the negative impact of the unemployment rate itself. Qualitative survey metrics were able to predict the Great Recession and the economic slowdown in Europe just prior to the COVID pandemic.

Photo-by-Jose-Antonio-Gallego-Vázquez-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Double-edged sword: Persistent effects of Communism on life satisfaction. A new GLO Discussion Paper by Vladimir Otrachshenko and GLO Fellows Milena Nikolova & Olga Popova.

A new GLO Discussion Paper finds that past communist regime connections have a persistent but differential effect on life satisfaction.

GLO Discussion Paper No. 927, 2021

Double-edged sword: Persistent effects of Communism on life satisfaction Download PDF
by Otrachshenko, Vladimir & Nikolova, Milena & Popova, Olga

GLO Fellows Milena Nikolova & Olga Popova

Author Abstract: Communism was a two-edged sword for the trustees of the former regime. Communist party members and their relatives enjoyed status and privileges, while secret police informants were often coerced to work clandestinely and gather compromising materials about friends, colleagues, and neighbors. We examine the long-term consequences of such connections to the communist regime for life satisfaction in Central and Eastern Europe and the former Soviet Union. We also calculate a monetary equivalent of those effects and empirically test mechanisms. The findings underscore that past communist regime connections have a persistent but differential effect on life satisfaction.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Perceived income inequality and subjective social status in Europe. A new GLO Discussion Paper by GLO Fellow Gábor Hajdu.

A new GLO Discussion Paper finds that the higher the level of perceived income inequality is, the lower is the individual’s perception of social standing.

GLO Discussion Paper No. 926, 2021

Perceived income inequality and subjective social status in Europe Download PDF
by Hajdu, Gábor

GLO Fellow Gábor Hajdu

Gábor Hajdu

Author Abstract: This paper analyzes how perceived income inequality is associated with subjective well-being. Using four waves of the “Social Inequality” module of the International Social Survey Programme, I show that the higher the level of perceived income inequality is, the lower the individual’s perception of her social standing, even if objective income inequality and preferences for the legitimate level of income inequality are controlled for. The results are robust to the measure of perceived inequality and the choice of the outcome variable. The analysis also provides evidence that the estimated association is weaker for individuals with higher income, higher education, and countries without postcommunist history. Overall, the results suggest that not only do objective inequality and perception of fairness have consequences regarding subjective well-being but also the perceived level of income inequality itself.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The well-being age U-shape effect in Germany is not flat. A new GLO Discussion Paper by GLO Fellow David G. Blanchflower & Alan Piper.

A new GLO Discussion Paper shows that the wellbeing-age curve for Germany for 1994-2006 is U-shaped.

GLO Discussion Paper No. 921, 2021

The well-being age U-shape effect in Germany is not flat Download PDF
by Blanchflower, David G. & Piper, Alan

GLO Fellow David G. Blanchflower

Danny Blanchflower

Author Abstract: Kassenboehmer and DeNew (2012) claim that there is no well-being age U-shape effect for Germany, when controlling for fixed effects and respondent experience and interviewer characteristics in the German Socio-Economic Panel, 1994-2006. We re-estimate with a longer run of years and restrict the age of respondents to those under seventy and find the well-being age U-shape effect is neither flat nor trivial.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Adverse Working Conditions and Immigrants’ Physical Health and Depression Outcomes. A Longitudinal Study in Greece by GLO Fellow Nick Drydakis.

A new GLO Discussion Paper finds that workers with no written contract of employment, receiving hourly wages lower than the national hourly minimum wages, and experiencing insults and/or threats in their present job experience worse physical health and increased levels of depression.

GLO Discussion Paper No. 925, 2021

Adverse Working Conditions and Immigrants’ Physical Health and Depression Outcomes. A Longitudinal Study in Greece Download PDF
by Drydakis, Nick

GLO Fellow Nick Drydakis

Nick Drydakis

Author Abstract: Τhe study examines whether adverse working conditions for immigrants in Greece bear an association with deteriorated physical health and increased levels of depression during 2018 and 2019. Findings indicate that workers with no written contract of employment, receiving hourly wages lower than the national hourly minimum wages, and experiencing insults and/or threats in their present job experience worse physical health and increased levels of depression. The study found that the inexistence of workplace contracts, underpayment, and verbal abuse in the workplace may coexist. An increased risk of underpayment and verbal abuse reveals itself when workers do not have a contract of employment and vice versa. Immigrant workers without a job contract might experience a high degree of workplace precariousness and exclusion from health benefits and insurance. Immigrant workers receiving a wage lower than the corresponding minimum potentially do not secure a living income, resulting in unmet needs and low investments in health. Workplace abuse might correspond with vulnerability related to humiliating treatment. These conditions can negatively impact workers’ physical health and foster depression. Policies should promote written employment contracts and ensure a mechanism for workers to register violations of fair practices.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Role of the Workplace in Ethnic Wage Differentials. A new GLO Discussion Paper by GLO Fellow Nikolaos Theodoropoulos and colleagues.

A new GLO Discussion Paper finds substantial ethnic segregation across workplaces in the UK, but most of the ethnic wage gap exists between observationally equivalent co-workers.

GLO Discussion Paper No. 920, 2021

The Role of the Workplace in Ethnic Wage Differentials Download PDF
by Forth, John & Theodoropoulos, Nikolaos & Bryson, Alex

GLO Fellow Nikolaos Theodoropoulos

Author Abstract: Using matched employer-employee data for Britain, we examine ethnic wage differentials among full-time employees. We find substantial ethnic segregation across workplaces: around three-fifths of workplaces in Britain employ no ethnic minority workers. However, this workplace segregation does not contribute to the aggregate wage gap between ethnic minorities and white employees. Instead, most of the ethnic wage gap exists between observationally equivalent co-workers. Lower pay satisfaction and higher levels of skill mismatch among ethnic minority workers are consistent with discrimination in wage-setting on the part of employers. The use of job evaluation schemes within the workplace is shown to be associated with a smaller ethnic wage gap.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The implications of self-reported body weight and height for measurement error in BMI. A new GLO Discussion Paper by GLO Fellows Apostolos Davillas & Andrew Jones.

A new GLO Discussion Paper reports that there is a systematic age gradient in the reporting error in BMI suggesting potential bias in the use of such data and the need to collect objective measures.

GLO Discussion Paper No. 919, 2021

The implications of self-reported body weight and height for measurement error in BMI Download PDF
by Davillas, Apostolos & Jones, Andrew M.

GLO Fellows Apostolos Davillas & Andrew Jones

Author Abstract: We designed an experiment to explore the extent of measurement error in body mass index (BMI), when based on self-reported body weight and height. We find that there is a systematic age gradient in the reporting error in BMI, while there is limited evidence of systematic associations with gender, education and income. This is reassuring evidence for the use of self-reported BMI in studies that use it as an outcome, for example, to analyse socioeconomic gradients in obesity. However, our results suggest a complex structure of non-classical measurement error in BMI, depending on both individuals’ and within-household peers’ true BMI. This may bias studies that use BMI based on self-reported data as a regressor. Common methods to mitigate reporting error in BMI using predictions from corrective equations do not fully eliminate reporting heterogeneity associated with individual and withinhousehold true BMI. Overall, the presence of non-classical error in BMI highlights the importance of collecting measured body weight and height data in large social science datasets.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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The Workforce of Clientelism: The Case of Local Officials in the Party Machine. A new GLO Discussion Paper by Ajay Shenoy and GLO Fellow Laura V. Zimmermann.

A new GLO Discussion Paper find that local politicians in India systematically misallocate resources based on party loyalty and successfully deliver votes to their national co-partisans.

GLO Discussion Paper No. 916, 2021

916 The Workforce of Clientelism: The Case of Local Officials in the Party Machine Download PDF
by Shenoy, Ajay & Zimmermann, Laura V.

GLO Fellow Laura V. Zimmermann

Laura V. Zimmermann, University of Georgia

Author Abstract: Local politicians can function as crucial intermediaries between voters and party bosses in a clientelistic network. We study their role by matching data on 300 million welfare payments in the Indian state of West Bengal to village-level election returns. Local politicians systematically misallocate resources based on party loyalty and successfully deliver votes to their national co-partisans. Politicians are compensated for successful mobilization through a performance bonus immediately after the national election. The (promise of) increased compensation from government funds induces opposition candidates to switch to the ruling party in strategically important local councils, bringing them under its control.

Laura V. Zimmermann has a joint appointment as Associate Professor in the Department of Economics and in the Department of International Affairs at the University of Georgia. She recently presented her research on gender bias and policy in India summarized in GLO Discussion Paper No. 888 at the Fourth IESR-GLO Conference. Video of presentation: LINK

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Wage Differences According to Workers’ Origin: The Role of Working More Upstream in GVCs. A new GLO Discussion Paper by GLO Fellow François Rycx and colleagues.

A new GLO Discussion Paper shows that firms that are further up in the value chain pay significantly higher wages.

GLO Discussion Paper No. 918, 2021

Wage Differences According to Workers’ Origin: The Role of Working More Upstream in GVCs Download PDF
by Fays, Valentine & Mahy, Benoît & Rycx, François

GLO Fellow François Rycx

Author Abstract:This paper is the first to investigate the role of firm-level upstreamness (i.e. the number of steps before the production of a firm meets final demand) in explaining wage differences according to workers’ origin. Using unique linked employer-employee data relative to the Belgian manufacturing industry for the period 2002-2010, our estimates show that firms that are further up in the value chain pay significantly higher wages. However, the wage premium associated with upstreamness is also found to vary substantially depending on the origin of the workers. Unconditional quantile estimates suggest that those who benefit the most from being employed in more upstream firms are high-wage workers born in developed countries. In contrast, workers born in developing countries, irrespective of their earnings, appear to be unfairly rewarded. Quantile decompositions further show that, while differences in average values of upstreamness according to workers’ origin play a limited role, differences in wage premia associated with upstreamness account for a substantial part of the wage gap between workers born in developed and developing countries, especially at the top of the earnings distribution. These results are shown to be robust to a number of sensitivity tests, including broader or narrower definitions of workers’ wages and different firm environments in terms of technological and knowledge intensity.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

The Mid-Life Dip in Well-Being: A Critique. A new GLO Discussion Paper by GLO Fellows David G. Blanchflower & Carol Graham.

A new GLO Discussion Paper shows that studies cited by psychologists claiming there are no U-shapes are in error. The effects of the mid-life dip are comparable to major life events such as losing a spouse or becoming unemployed.

GLO Discussion Paper No. 923, 2021

The Mid-Life Dip in Well-Being: A Critique Download PDF
by Blanchflower, David G. & Graham, Carol L.

GLO Fellows David G. Blanchflower & Carol Graham

Author Abstract: A number of studies – including our own – find a mid-life dip in well-being. Yet several papers in the psychology literature claim that the evidence of a U-shape is “overblown” and if there is such a thing that any such decline is “trivial”. Others have claimed that the evidence of a U-shape “is not as robust and generalizable as is often assumed,” or simply “wrong.” We identify 424 studies, mostly published in peer reviewed journals that find U-shapes that these researchers apparently were unaware of. We use data for Europe from the Eurobarometer Surveys (EB), 1980-2019; the Gallup World Poll (GWP), 2005-2019 and the UK’s Annual Population Survey, 2016-2019 and the Census Bureau’s Household Pulse Survey of August 2021, to examine U-shapes in age in well-being. We find remarkably strong and consistent evidence across countries of statistically significant and non-trivial U-shapes in age with and without socio-economic controls. We show that studies cited by psychologists claiming there are no U-shapes are in error; we reexamine their data and find differently. The effects of the mid-life dip we find are comparable to major life events such as losing a spouse or becoming unemployed. This decline is comparable to half of the unprecedented fall in well-being observed in the UK in 2020 and 2021, during the Covid19 pandemic and lockdown, which is hardly “inconsequential” as claimed.

Featured image by-Elijah-Hail-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Sex workers’ self-reported physical and mental health in Greece. A repeated cross-sectional study in 2009, 2013 and 2019. A new GLO Discussion Paper by GLO Fellow Nick Drydakis.

A new GLO Discussion Paper finds that self-reported physical and mental health decreased in 2013 and in 2019 compared to 2009 indicating the need for more inclusive health strategies.

GLO Discussion Paper No. 924, 2021

Sex workers’ self-reported physical and mental health in Greece. A repeated cross-sectional study in 2009, 2013 and 2019 Download PDF
by Drydakis, Nick

GLO Fellow Nick Drydakis

Nick Drydakis

Author Abstract: In Greece, given the precarious nature of the sex work industry, sex workers health and wellbeing is of concern. However, relevant research remains limited. This study examined whether sex workers’ self-reported physical and mental health deteriorated across time points during the economic recession in Athens, Greece. The study focused on 13 areas where off-street and street-based sex work occured. Cross-sectional data was collected from the same areas in 2009 (i.e. before the economic recession began) and in 2013 and 2019 (i.e. at time points during the recession). Self-reported physical and mental health decreased in 2013 and in 2019 compared to 2009. A positive association was found between the country’s gross domestic product and sex workers’ self-reported physical and mental health. The opposite was found for annual aggregate unemployment. The determinants of better self-reported physical and mental health were sex workers’ economic condition, Greek nationality, off-street sex work, and registered sex work status. The opposite was found for more years’ involvement in sex work and drug consumption. Findings indicate the need for more inclusive health strategies, especially during periods of economic downturn when sex workers’ physical/mental health is likely to decline. This is the first study to investigate the association between economic recession and sex workers’ self-reported physical and mental health.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

COVID-19 and (gender) inequality in income: the impact of discretionary policy measures in Austria. A new GLO Discussion Paper by GLO Fellow Michael Christl and colleagues.

A new GLO Discussion Paper finds that discretionary fiscal policy measures in Austria are key to counteracting the inequality- and poverty-enhancing effect of COVID-19.

GLO Discussion Paper No. 917, 2021

COVID-19 and (gender) inequality in income: the impact of discretionary policy measures in Austria Download PDF
by Christl, Michael & De Poli, Silvia & Kucsera, Dénes & Lorenz, Hanno

GLO Fellow Michael Christl

Michael Christl

Author Abstract: This paper analyzes the impact of the COVID-19 crisis on household income in Austria, using detailed administrative labor market data, in combination with micro-simulation techniques, that enable specific labor market transitions to be modeled. We find that discretionary fiscal policy measures in Austria are key to counteracting the inequality- and poverty-enhancing effect of COVID-19. Additionally, we find that females tend to experience a greater loss in terms of market income. The Austrian tax-benefit system, however, reduces this gender differences. Disposable income has dropped by around 1% for both males and females. By comparison, males profit mainly from short-time work scheme, while females profit especially from other discretionary policy measures, such as the one-off payment for children.

Featured image: fusion-medical–unsplash

More from the GLO COVID-19 Cluster.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Sexual orientation discrimination in the labor market against gay men. A new GLO Discussion Paper by GLO Fellow Nick Drydakis.

A new GLO Discussion Paper finds that sexual orientation discrimination still matters in Greece and even has increased.

GLO Discussion Paper No. 915, 2021

Sexual orientation discrimination in the labor market against gay men Download PDF
by Drydakis, Nick

GLO Fellow Nick Drydakis

Nick Drydakis

Author Abstract: The study replicates the first European field experiment on gay men’s labor market prospects in Greece. Utilizing the same protocol as the original study in 2006-2007, two follow-up field experiments took place in 2013-2014 and 2018-2019. The study estimated that gay men experienced occupational access constraints and wage sorting in vacancies offering lower remuneration. It was found that in 2013-2014 and 2018-2019, gay men experienced increasingly biased treatment compared to 2006-2007. Moreover, the results suggested that unemployment bore an association with occupational access constraints and wage sorting in vacancies offering lower remuneration for gay men. In each of the three experiments, this study captured recruiters’ attitudes toward gay men. A one standard deviation increase in taste-discrimination attitudes against gay men decreased their access to occupations by 9.6%. Furthermore, a one standard deviation increase in statistical-discrimination attitudes against gay men decreased their access to occupations by 8.1%. According to the findings, in 2013-2014 and 2018-2019, firms excluding gay applicants expressed a higher level of taste- and statistical-discrimination attitudes compared to 2006-2007. A gay rights backlash due to the LGBTIQ+ group’s attempt to advance its agenda, rising far-right rhetoric, and prejudice associated with economic downturns experienced in Greece might correspond with increasing biases against gay men.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

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Bottom Incomes and the Measurement of Poverty: A Brief Assessment of the Literature. A new GLO Discussion Paper of GLO Fellow Paolo Verme and colleagues.

A new GLO Discussion Paper argues that negative and zero incomes cannot be treated equally in terms of household well-being and that standard methods used by practitioners fail to recognize this fact likely resulting in overestimations of poverty.

GLO Discussion Paper No. 914, 2021

Bottom Incomes and the Measurement of Poverty: A Brief Assessment of the Literature Download PDF
by Ceriani, Lidia & Hlasny, Vladimir & Verme, Paolo

GLO Fellow Paolo Verme

Paolo Verme

Author Abstract: The paper discusses the main issues related to negative and zero incomes that are relevant for the measurement of poverty. It shows the prevalence of non-positive incomes in high- and middle-income countries, provides an analysis of the sources and structure of these incomes, outlines the various approaches proposed by scholars and statistical agencies to treat non-positive incomes, and explains how non-positive incomes and alternative correction methods impact the measurement of standard poverty indexes. It is argued that negative and zero incomes cannot be treated equally in terms of household well-being and that standard methods used by practitioners fail to recognize this fact likely resulting in overestimations of poverty.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

The Impact of Delay: Evidence from Formal Out-of-Court Restructuring. A new GLO Discussion Paper by Stjepan Srhoj and GLO Fellows Dejan Kovac & Randall Filer.

A new GLO Discussion Paper highlights the impact of delay and the importance of structuring bankruptcy procedures to rapidly resolve uncertainty about firms’ future prospects.

Dejan Kovac
Dejan Kovac

GLO Discussion Paper No. 912, 2021

The Impact of Delay: Evidence from Formal Out-of-Court Restructuring Download PDF
by Srhoj, Stjepan & Kovač, Dejan & Shapiro, Jacob N. & Filer, Randall K.

GLO Fellows Dejan Kovac & Randall Filer

Author Abstract: Bankruptcy restructuring procedures are used in most legal systems to decide the fate of businesses facing financial hardship. We study how bargaining failures in such procedures impact the economic performance of participating firms in the context of Croatia, which introduced a “pre-bankruptcy settlement” (PBS) process in the wake of the Great Recession of 2007 – 2009. Local institutions left over from the communist era provide annual financial statements for both sides of more than 180,000 debtor- creditor pairs, enabling us to address selection into failed negotiations by matching a rich set of creditor and debtor characteristics. Failures to settle at the PBS stage due to idiosyncratic bargaining problems, which effectively delays entry into the standard bankruptcy procedure, leads to a lower rate of survival among debtors as well as re- duced employment, revenue, and profits. We also track how bargaining failures diffuse through the network of creditors, finding a significant negative effect on small creditors, but not others. Our results highlight the impact of delay and the importance of structuring bankruptcy procedures to rapidly resolve uncertainty about firms’ future prospects.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

How the Past of Outsourcing and Offshoring is the Future of Post-Pandemic Remote Work: A Typology, a Model, and a Review. A new GLO Discussion Paper by Christopher Erickson & GLO Fellow Peter Norlander.

A new GLO Discussion Paper reviews how the outsourcing and offshoring literature helps to understand the future of post-pandemic remote work.

GLO Discussion Paper No. 913, 2021

How the Past of Outsourcing and Offshoring is the Future of Post-Pandemic Remote Work: A Typology, a Model, and a Review Download PDF
by Erickson, Christopher & Norlander, Peter

GLO Fellow Peter Norlander

Author Abstract: Information and communication technology (ICT) challenges traditional assumptions about the capacity to manage workers beyond organizational and physical boundaries. A typology connects a variety of non-traditional work organizations made possible by ICT, including offshoring, outsourcing, remote work, virtual companies, and platforms. A model illustrates how new technology serves as a proximate cause for a revision of social contracts between capital, labor and government reached through bargaining, and how external shocks such as the COVID-19 pandemic, the institutional environment, and limitations in practice influence how technology changes the organization of work. An historical case illustrates the general features of the model, and a review of the outsourcing and offshoring literature provides instructive examples of how features of the model will potentially influence the future of post-pandemic remote work

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Monopolistic Competition, Optimum Product Diversity, and International Trade – The Role of Factor Endowment and Factor Intensities. A new GLO Discussion Paper by Sugata Marjit and GLO Fellow Biswajit Mandal.

A new GLO Discussion Paper revisits the influential theory of monopolistic competition and optimum product variety. Differences in factor endowments across countries determine the pattern of trade between varieties and output per variety, which is indeterminate the standard model.

Biswajit Mandal

GLO Discussion Paper No. 911, 2021

Monopolistic Competition, Optimum Product Diversity, and International Trade – The Role of Factor Endowment and Factor Intensities Download PDF
by Marjit, Sugata & Mandal, Biswajit

GLO Fellow Biswajit Mandal

Author Abstract: In this paper we revisit the influential theory of monopolistic competition and optimum product variety as developed by Dixit and Stiglitz (1977) with applications in international trade by Krugman (1979,1980), by modeling fixed and variable costs of production in terms of underlying use of skilled and unskilled labor in a single good model. This is different from earlier work on multi sector variant of Krugman cum Heckscher-Ohlin-Samuelson model such as Helpman (1981) and others. In our structure factor endowment and factor intensities determine both number of varieties and output per variety in a closed economy mimicking the features of Heckscher-Ohlin-Samuelson model. Differences in factor endowments across countries determine the pattern of trade between varieties and output per variety, which is indeterminate in a standard single good Dixit-Stiglitz-Krugman model. Later we reflect on wage inequality and unemployment providing some interesting results.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

The Slippery Slope from Pluralistic to Plural Societies. A new GLO Discussion Paper by GLO Fellow Chiara Rapallini and colleagues.

A new GLO Discussion Paper examines integration issues studying school friendship networks in five European countries with recent immigration.

Chiara Rapallini

GLO Discussion Paper No. 910, 2021

The Slippery Slope from Pluralistic to Plural Societies Download PDF
by Campigotto, Nicola & Rapallini, Chiara & Rustichini, Aldo

GLO Fellow Chiara Rapallini

Author Abstract: Academic consensus about normative prescriptions on the ethnic and cultural composition of societies has been shifting in recent decades. It has evolved from what seemed desirable but was acknowledged to be unrealistic (the noble idea of a melting pot), to what is realistic because it has already happened, but might be undesirable in the long run: the multicultural diaspora. Plural societies, an unintended consequence of multiculturalism, lurk in the background. Thus scholars of social and economic questions, as well as societies, face a threehorned dilemma. We throw some light on the dilemma by examining school friendship networks in five European countries with recent immigration. Our results highlight the force of elective affinities in overcoming differences, but they also point to the countervailing forces of elective discordance that are currently driving increasing division.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

How do women allocate their available time in Europe? Differences with men. A new GLO Discussion Paper by Jose Ignacio Gimenez-Nadal & GLO Fellow José Alberto Molina.

A new GLO Discussion Paper provides a comprehensive analysis of gender gaps in Europe.

José Alberto Molina

GLO Discussion Paper No. 908, 2021

How do women allocate their available time in Europe? Differences with men Download PDF
by
Gimenez-Nadal, Jose Ignacio & Molina, José Alberto

GLO Fellow José Alberto Molina

Author Abstract: This article explores the gender gap in time allocation in Europe, offering up-to-date statistics and information on several factors that may help to explain these differences. Prior research has identified several factors affecting the time individuals devote to paid work, unpaid work, and child care, and the gender gaps in these activities, but most research refers to single countries, and general patterns are rarely explored. Cross-country evidence on gender gaps in paid work, unpaid work, and child care is offered, and explanations based on education, earnings, and household structure are presented, using data from the EUROSTAT and the Multinational Time Use Surveys. There are large cross-country differences in the gender gaps in paid work, unpaid work, and child care, which remain after controlling for socio-demographic characteristics, although the gender gap in paid work dissipates when the differential gendered relationship between socio-demographic characteristics and paid work is taken into account. This paper provides a comprehensive analysis of gender gaps in Europe, helping to focus recent debates on how to tackle inequality in Europe, and clarifying the factors that contribute to gender inequalities in the uses of time.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Cultural Norms and Women’s Health: Implications of the Practice of Menstrual Restrictions in Nepal. A new GLO Discussion Paper by Rahul Kumar and GLO Fellow Bipasha Maity.

A new GLO Discussion Paper finds that menstrual restriction related rituals can have persistent negative implications on women’s physical and mental health that is not just limited to the time of menstruation.

GLO Discussion Paper No. 907, 2021

Cultural Norms and Women’s Health: Implications of the Practice of Menstrual Restrictions in Nepal Download PDF
by
Kumar, Rahul & Maity, Bipasha

GLO Fellow Bipasha Maity

Author Abstract: We study the association between the ritual of menstrual restrictions and maternal health- care access as well as women’s subjective well-being. Similar restrictions, also practised around the time of childbirth, are based on the assumption that women are ritually impure during these phases of their lives. Although menstrual taboos and restrictions are common across many developing countries, we use micro-data from Nepal where these rituals are widely prevalent. We use a rich set of controls as well as assess the sensitivity of our results to alternative estimation methods. We find that women who face any menstrual restriction are also more likely to give birth at home and receive assistance only from untrained individuals during childbirth, which increases the risk of maternal mortality. We find that only the strictest menstrual restrictions are associated with a decline in subjective well-being. These findings indicate that menstrual restriction related rituals can have persistent negative implications on women’s physical and mental health that is not just limited to the time of menstruation.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Impact of COVID-19 Crisis on Rural Youth: Evidence from a Panel Survey and an Experiment. A new GLO Discussion Paper on India by GLO Fellows Bhaskar Chakravorty & Roland Rathelot and colleagues.

A new GLO Discussion Paper reports a stark difference in rural India between men and women: while many male workers took up informal employment, most female workers dropped out of the labor force.

GLO Discussion Paper No. 909, 2021

Impact of COVID-19 Crisis on Rural Youth: Evidence from a Panel Survey and an Experiment Download PDF
by Chakravorty, Bhaskar & Bhatiya, Apurav Yash & Imbert, Clément & Lohnert, Maximilian & Panda, Poonam & Rathelot, Roland

GLO Fellows Bhaskar Chakravorty & Roland Rathelot

Bhaskar Chakravorty

Author Abstract: This paper presents evidence on the short and long-term impact of the first COVID-19 wave on India’s rural youth. We interviewed about 2,000 vocational trainees from Bihar and Jharkhand between March 2020 and March 2021. We report a stark difference between men and women: while many male workers took up informal employment, most female workers dropped out of the labour force. Using a randomised experiment, we find that a government supported digital job platform does not increase job search or employment. Our findings suggest that bridging the gap between rural youths and urban formal labour markets requires much more active and targeted policy interventions, especially for female workers.

Featured image: fusion-medical–unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Does it pay to say “I do”? Marriage bonuses and penalties across the EU. A new GLO Discussion Paper by GLO Fellow Michael Christl and colleagues.

A new GLO Discussion Paper finds that marriage bonuses/penalties differ substantially across household types and income.

Michael Christl

GLO Discussion Paper No. 906, 2021

Does it pay to say “I do”? Marriage bonuses and penalties across the EU Download PDF
by
Christl, Michael & De Poli, Silvia & Ivaškaitė-Tamošiūnė, Viginta

GLO Fellow Michael Christl

Author Abstract:

We analyse the different fiscal treatment of married and cohabiting couples across all EU Member States using microsimulation methods. Our paper highlights important differences across EU countries’ tax-benefit systems, where seven countries show substantial bonuses for married couples and four exhibit marriage penalties. On a micro level, we find that these marriage bonuses/penalties differ substantially across household types and income. From a policy point of view, our results suggest that the abolishment of marriage-related tax-benefit components in countries with marriage bonuses would leave some households financially worse off but would increase governments revenues that could be spent to targeted support of specific groups. From both an equity and a gender equality point of view, this abolishment would be desirable.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Data Scarcity and Poverty Measurement. A new GLO Discussion Paper by GLO Fellow Hai-Anh Dang and Peter F. Lanjouw.

A new GLO Discussion Paper provides a broad overview of the pros and cons of poverty imputation in data-scarce environments.

Hai-Anh Dang

GLO Discussion Paper No. 904, 2021

Data Scarcity and Poverty Measurement Download PDF
by
Dang, Hai-Anh H. & Lanjouw, Peter F.

GLO Fellow Hai-Anh Dang

Author Abstract:

Measuring poverty trends and dynamics is an important undertaking for poverty reduction policies, which is further highlighted by the SDG goal 1 on eradicating poverty by 2030. We provide a broad overview of the pros and cons of poverty imputation in data-scarce environments, update recent review papers, and point to the latest research on the topics. We briefly review two common uses of poverty imputation methods that aim at tracking poverty over time and estimating poverty dynamics. We also discuss new areas for imputation.

Featured image: Mika-Baumeister-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Choose the school, choose the performance. New evidence on the determinants of student performance in eight European countries. A new GLO Discussion Paper by Irene Brunetti and GLO Fellows Luca Bonacini & Giovanni Gallo.

A new GLO Discussion Paper shows that the differences in test scores between big and small cities depend on school characteristics, while the differences between general and vocational schools are mainly explained by family social status.

GLO Discussion Paper No. 905, 2021

Choose the school, choose the performance. New evidence on the determinants of student performance in eight European countries Download PDF
by
Bonacini, Luca & Brunetti, Irene & Gallo, Giovanni

GLO Fellows Luca Bonacini & Giovanni Gallo

Author Abstract:

This study aims to identify the main determinants of student performance in reading and maths across eight European Union countries (Austria, Croatia, Germany, Hungary, Italy, Portugal, Slovakia, and Slovenia). Based on student-level data from the OECD’s PISA 2018 survey and by means of the application of efficient algorithms, we highlight that the number of books at home and a variable combining the type and location of their school represent the most important predictors of student performance in all of the analysed countries, while other school characteristics are rarely relevant. Econometric results show that students attending vocational schools perform significantly worse than those in general schools, except in Portugal. Considering only general school students, the differences between big and small cities are not statistically significant, while among students in vocational schools, those in a small city tend to perform better than those in a big city. Through the Gelbach decomposition method, which allows measuring the relative importance of observable characteristics in explaining a gap, we show that the differences in test scores between big and small cities depend on school characteristics, while the differences between general and vocational schools are mainly explained by family social status.

Featured image: Element5-Digital-on-Unsplash

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Employment Mobility of FDI Workers in Vietnam: New Evidence from Recent Surveys. A new GLO Discussion Paper by GLO Fellow Cuong Nguyen.

A new GLO Discussion Paper highlights social identity as an important determinant of STEM-related education with potential long-term implications for the economic welfare of disadvantaged groups.

GLO Discussion Paper No. 901, 2021

Employment Mobility of FDI Workers in Vietnam: New Evidence from Recent Surveys Download PDF
by
Nguyen, Cuong Viet

GLO Fellow Cuong Nguyen

Author Abstract:

In this study, we examine characteristics of employment in FDI in Vietnam. Workers from FDI account for 5.6% of working people. Female and younger people are more likely to work the FDI sector. Compared with private and public sectors, the FDI sector has a lower share of workers who have tertiary education. The FDI sector has a high proportion of workers with social insurance, at 95%. However, there is a relatively large proportion of the FDI workers receiving daily wages and piece payment. The FDI workers have a high number of working hours and more likely to have overtime working hours. The FDI workers have lower wages per hour than those in the private and public sector. However, once observed characteristics of workers are controlled for, the FDI workers have higher hourly and monthly wages than the private as well as public workers. The proportion of FDI workers who moved out of the FDI sector was 11% over a three-month period and 31% over a two-year period. Older workers are more likely to move out of the FDI sector than young ones. There is no evidence that workers move out of the FDI sector after age 35.

GLO Discussion Papers are research and policy papers of the GLO Network which are widely circulated to encourage discussion. Provided in cooperation with EconStor, a service of the ZBW – Leibniz Information Centre for Economics, GLO Discussion Papers are among others listed in RePEc (see IDEAS,  EconPapers)Complete list of all GLO DPs – downloadable for free.

The Global Labor Organization (GLO) is an independent, non-partisan and non-governmental organization that functions as an international network and virtual platform to stimulate global research, debate and collaboration.

Ends;

Social Identity and STEM Choice: Evidence from Higher Secondary Schooling in India. A new GLO Discussion Paper by Anand Kumar and GLO Fellow Soham Sahoo.

A new GLO Discussion Paper highlights social identity as an important determinant of STEM-related education with potential long-term implications for the economic welfare of disadvantaged groups.

GLO Discussion Paper No. 900, 2021

Social Identity and STEM Choice: Evidence from Higher Secondary Schooling in India Download PDF
by
Kumar, Anand & Sahoo, Soham

GLO Fellow Soham Sahoo

Author Abstract:
This paper investigates the role of social identity, namely gender and caste of individuals, in stream choice at the higher secondary level of schooling in India. We analyze the choice of science stream that is a crucial determinant of subsequent science, technology, engineering, and mathematics (STEM) related education and labour market outcomes. Using three rounds of nationally representative surveys between 2007 and 2018, we estimate regression models including household characteristics and fixed effects to control for region-specific unobserved heterogeneity. We find that females and individuals belonging to historically disadvantaged social groups (castes) are significantly less likely to study science. On average, female students enrolled in higher secondary education have 9 percentage points lower probability than male students to study science during the period considered for the analysis. For students belonging to the socially disadvantaged groups – Scheduled Tribes (ST), Scheduled Caste (SC), and Other Backward Classes (OBC), the likelihood of studying science is significantly lower by 6.9, 4.4, and 2.7 percentage points, respectively, than students from the less-disadvantaged groups. Using decomposition analysis, we show that the differences in the observable characteristics such as economic affluence and household head’s education significantly explain some portion of the caste-based gaps, but they do not explain the gender gap that persists even in an intra-household comparison. We also test for the intersectionality of the overlapping identities of gender and caste in this context. We find evidence of cumulative disadvantages for females of SC and OBC groups, but lower gender disparity among ST students indicating the presence of intersectionality for this group. Thus, our paper highlights social identity as an important determinant of STEM-related education that may have long-term implications for the economic welfare of disadvantaged groups.

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