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Empirical Consequences Of Comparable Worth, Ronald G. Ehrenberg Aug 2012

Empirical Consequences Of Comparable Worth, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] To help focus subsequent debate, this paper presents a nontechnical survey of the small but growing empirical literature by economists on the consequences of comparable worth. I discuss in turn studies of the consequences of comparable worth on the male-female earnings gap, of its potential to affect adversely the employment of women, of its effects on the labor supply and occupational mobility of women, and of its effects on women and their families as a group. The survey is critical in nature and points to areas in which research is needed.


Compensating Wage Differentials For Mandatory Overtime, Ronald G. Ehrenberg, Paul L. Schumann Aug 2012

Compensating Wage Differentials For Mandatory Overtime, Ronald G. Ehrenberg, Paul L. Schumann

Ronald G. Ehrenberg

Our paper estimates the extent to which employees are compensated for an unfavorable job characteristic, being required to accept mandatory assignment of overtime, by receiving higher straight—time wages. Our estimating equations are derived from a model in which wage rates and the existence of mandatory assignment of overtime are jointly determined in the market by the interaction of employee and employer preferences. While on average, we do not observe the existence of a compensating wage differential for mandatory overtime, we do observe the existence of such differentials for unionized workers and workers with only a few years experience at a …


Are Black Colleges Producing Today's African-American Lawyers?, Ronald G. Ehrenberg Aug 2012

Are Black Colleges Producing Today's African-American Lawyers?, Ronald G. Ehrenberg

Ronald G. Ehrenberg

In past years, almost all of America's black lawyers came from historically black colleges and universities because these schools were the only ones that would admit black students. Today, it appears that black colleges are producing increasingly fewer of the nation's black lawyers.


The Social Security Student Benefit Program And Family Decisions, Ronald G. Ehrenberg Aug 2012

The Social Security Student Benefit Program And Family Decisions, Ronald G. Ehrenberg

Ronald G. Ehrenberg

In 1965 Congress established the Social Security Student Benefit Program which provided benefits for children of deceased, disabled or retired workers, who were enrolled in college full—time and were not married, up until the semester they turned age 22. The program grew to be a major financial aid program; at its peak in FY 81 it represented about 20% of all federal outlays on student assistance for higher education. The program was terminated for students newly entering college as of May 1, 1982. Somewhat surprisingly, in contrast to the debate that accompanies most social programs, debate over the student benefit …


My Life And Economics, Ronald G. Ehrenberg Aug 2012

My Life And Economics, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] Age 51 is a bit early to be writing a retrospective about one's career as an economist and one's life. This is especially true for me since I am not on track to win a Nobel Prize, to be admitted to the National Academy of Science, or even to be elected a Fellow of the Econometric Society. Nonetheless, as I write this essay during the fall of 1997, I look back on the 28 years I have spent as a PhD economist and see a record of accomplishment of which I am proud and a number of messages worth …


Why Warn? The Impact Of Recent Plant-Closing And Layoff Prenotification Legislation In The United States, Ronald G. Ehrenberg, George H. Jakubson Aug 2012

Why Warn? The Impact Of Recent Plant-Closing And Layoff Prenotification Legislation In The United States, Ronald G. Ehrenberg, George H. Jakubson

Ronald G. Ehrenberg

[Excerpt] WARN was passed only after a decade of strenuous debate. We can now look back and address a number of issues it raised. What benefits did its proponents think would arise from the notice legislation, and what costs did its opponents think there would be? What public policies toward advance notice do other nations have? Did displaced workers in the United States receive advance notice before the passage of WARN? What do we know empirically about the effects on workers and firms of the provision of advance notice? What has experience under WARN taught us? Finally, what research issues …


The Effect Of Unions On Productivity In The Public Sector: The Case Of Municipal Libraries, Ronald G. Ehrenberg, Joshua L. Schwarz Aug 2012

The Effect Of Unions On Productivity In The Public Sector: The Case Of Municipal Libraries, Ronald G. Ehrenberg, Joshua L. Schwarz

Ronald G. Ehrenberg

[Excerpt] This paper represents our initial efforts at analyzing the effects of unions on productivity in the public sector. We first sketch an analytical framework that can be used to estimate these effects, focusing for expository purposes on municipal public libraries. We initially focus on libraries because considerable effort has been devoted to conceptualizing productivity measures for them and because of the availability of data to implement the framework. After discussing the analytical framework, we present preliminary estimtes of the effects of unions on productivity in public libraries based upon analyses of data from 71 municipal libraries in Massachusetts. We …


The Costs Of Defined Benefit Pension Plans And Firm Adjustments, Burt S. Barnow, Ronald G. Ehrenberg Aug 2012

The Costs Of Defined Benefit Pension Plans And Firm Adjustments, Burt S. Barnow, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] While it is obvious that the costs of term life insurance vary directly with age, it is less obvious how employers' contributions to pension funds, which comprise a major share of nonwage compensation, vary. As such, we focus in this paper on the most common variant of pension plans and demonstrate how an employer's cost of fully funding a plan varies with the age and service characteristics of his work force. This cost, as a percent of annual salary, is seen to increase with employees' ages and, in some cases, years of service. This variation has important implications for …


Retirement Policies, Employment, And Unemployment, Ronald G. Ehrenberg Aug 2012

Retirement Policies, Employment, And Unemployment, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] There is a growing consensus among economists that reliance on aggregate demand policies alone will not be sufficient to move the economy to full employment with a nonaccelerating inflation rate, and that policies which alter the structure of labor markets will be required. While obvious structural policies such as public sector employment programs and training programs are the focus of current debate, many other public policies affect labor markets in subtle ways which may well adversely affect the level and distribution of employment and unemployment. To help improve the inflation-unemployment tradeoff, policymakers should seek to marginally modify these policies, …


The Flow Of New Doctorates, Ronald G. Ehrenberg Aug 2012

The Flow Of New Doctorates, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] As noted by Bowen and Sosa, their projections of the supply side of the academic labor market, which are typical of those used in other studies, are based on a number of simplifying assumptions. Similarly, their proposed policy remedies to increase the flow of new doctorates, such as increasing financial support for graduate students and shortening the time it takes students to receive degrees, are made presenting only scanty evidence on the likely magnitude of supply responses to these changes. This essay, which draws heavily from my study (Ehrenberg 1991), reviews the academic literature and available data (from a …


Executive Compensation In Municipalities, Gerald S. Goldstein, Ronald G. Ehrenberg Aug 2012

Executive Compensation In Municipalities, Gerald S. Goldstein, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] In this paper we are concerned with the salaries of three important municipal officials; city-managers, police chiefs, and fire chiefs. We present a model that relates the salaries of these officials to a set of explanatory variables, the most important being measures associated with job performance. Two of these measures of performance are developed in the study. Further, the influence of the city-manager form of government on the incentive structure facing police chiefs and fire chiefs, and the interdependence betwen the salaries of police chiefs and fire chiefs is investigated. The model is tested using cross-section data for 1967.


Household Allocation Of Time And Church Attendance, Corry Azzi, Ronald G. Ehrenberg Aug 2012

Household Allocation Of Time And Church Attendance, Corry Azzi, Ronald G. Ehrenberg

Ronald G. Ehrenberg

This paper presents the first systematic attempt by economists to analyze the determinants of individuals' participation in religious activities. A multiperiod utility-maximizing model of household behavior is developed which includes among its implications the shape of a house-hold's life-cycle religious-participation profile and the division of religious participation between husband and wife. The theory is empirically tested using statewide church-membership data and survey data on individuals' frequency of church attendance. The paper concludes by discussing several extensions of the model which lead to additional potentially testable hypotheses.


[Review Of The Book Discrimination In Labor Markets], Ronald G. Ehrenberg Aug 2012

[Review Of The Book Discrimination In Labor Markets], Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] In sum, I consider Discrimination in Labor Markets a fine volume. Anyone who has the slightest interest in the analysis of labor-market discrimination should seriously contemplate purchasing it. The relatively nontechnical nature of the papers will appeal to a wide range of readers, and the book should quickly find its way onto reading lists for undergraduate and graduate courses that discuss the economics of discrimination.


Cost-Of-Living Adjustment Clauses In Union Contracts: A Summary Of Results, Ronald G. Ehrenberg, Leif Danziger, Gee San Aug 2012

Cost-Of-Living Adjustment Clauses In Union Contracts: A Summary Of Results, Ronald G. Ehrenberg, Leif Danziger, Gee San

Ronald G. Ehrenberg

Our paper provides an explanation why cost-of-living adjustment (COLA) provisions and their characteristics vary widely across U.S. industries. We develop models of optimal risk sharing between a firm and union to investigate the determinants of a number of contract characteristics. These include the presence and degree of wage indexing, the magnitude of deferred noncontingent wage increases, contract duration, and the trade-off between temporary layoffs and wage indexing. Preliminary empirical tests of some of the implications of the model are described. One key finding is that the level of unemployment insurance benefits appears to influence the level of layoffs and the …


Studying Ourselves: The Academic Labor Market (Presidential Address To The Society Of Labor Economists, Baltimore, May 3, 2002), Ronald G. Ehrenberg Aug 2012

Studying Ourselves: The Academic Labor Market (Presidential Address To The Society Of Labor Economists, Baltimore, May 3, 2002), Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The study of academic labor markets by economists goes back at least to Adam Smith’s suggestion in The Wealth of Nations that a professor’s compensation be tied to the number of students that enrolled in his classes. This article focuses on three academic labor market issues that students at Cornell and I are currently addressing: the declining salaries of faculty employed at public colleges and universities relative to the salaries of their counterparts employed at private higher education institutions, the growing dispersion of average faculty salaries across academic institutions within both the public and private sectors, and the impact …


Household Allocation Of Time And Religiosity: Replication And Extension, Ronald G. Ehrenberg Aug 2012

Household Allocation Of Time And Religiosity: Replication And Extension, Ronald G. Ehrenberg

Ronald G. Ehrenberg

Stephen Long and Russell Settle's (1977) empirical tests of the economic theory of religiosity presented by Corry Azzi and myself (1975) in this Journal tend to be less supportive of our theory than were our original results. As such, I welcome the opportunity to trot out some further replications and extensions that I have conducted and I leave it to the reader to judge the relative merits of the two new contributions.


Academic Labor Supply, Ronald G. Ehrenberg Aug 2012

Academic Labor Supply, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The plan of this study is as follows. In the remainder of this chapter, some background data are presented on the academic labor market and new Ph.D. production in the United States. Chapter 7 describes a schematic model of academic labor supply and indicates the underlying trends since 1970 in a number of variables that contribute to projections of shortages of faculty. In Chapter 8, a general model of occupational choice and the decision to undertake and complete graduate study is sketched. This framework, available data, and the prior academic literature are then used to address students' choice of …


Comparable Worth In The Public Sector, Ronald G. Ehrenberg, Robert Smith Aug 2012

Comparable Worth In The Public Sector, Ronald G. Ehrenberg, Robert Smith

Ronald G. Ehrenberg

[Excerpt] At the theoretical level, we conclude that the case for comparable worth rests on the argument that the current distribution of female employees is based on discriminatory barriers which existing legislation have not broken down. If this argument is valid, the desirability of comparable worth depends upon one's perceptions of how the benefits it provides contrasts with the efficiency losses it induces. Given the trade-offs involved, ultimately one's position on comparable worth must depend on value judgments.


Comparable-Worth Wage Adjustments And Female Employment In The State And Local Sector, Ronald G. Ehrenberg, Robert S. Smith Aug 2012

Comparable-Worth Wage Adjustments And Female Employment In The State And Local Sector, Ronald G. Ehrenberg, Robert S. Smith

Ronald G. Ehrenberg

Our paper simulates the likely effects of a comparable-worth wage-adjustment policy in the state and local sector on female employment in the sector. The simulation is based on estimates of within-occupation male/female substitution and across-occupation occupational employment substitution that we obtain using data from the 1980 Census of Population.


Compliance With The Overtime Pay Provisions Of The Fair Labor Standards Act, Ronald G. Ehrenberg, Paul L. Schumann Aug 2012

Compliance With The Overtime Pay Provisions Of The Fair Labor Standards Act, Ronald G. Ehrenberg, Paul L. Schumann

Ronald G. Ehrenberg

[Excerpt] The evidence presented in this paper strongly suggests that non-compliance with the overtime pay provisions of the FLSA is a nontrivial problem. Our analyses of the May 1978 CPS data indicated that at least 9.6 percent of individuals who worked more than forty-one hours in the survey week and who we believe were subject to the FLSA's overtime provisions with certainty failed to receive any premium pay for overtime hours. Moreover, from our analyses of the partial coverage CPS sample, we inferred that over 20 percent of the people working overtime who were subject to the overtime pay provisions …


The Demand For State And Local Government Employees, Ronald G. Ehrenberg Jul 2012

The Demand For State And Local Government Employees, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The primary purpose of this paper is to present empirical estimates of the wage elasticities of demand for different categories of state and local government employees. The employment demand equations that are estimated are derived from a utility maximization model of state and local government behavior. After presenting this model in the first section, we next briefly discuss the data used in the study. The structural system of demand equations is then estimated using pooled time-series and cross-section information, with annual individual state data as the units of observation. A number of alternative estimation methods are used in the …


Role Models In Education (Symposium Introduction), Ronald G. Ehrenberg Jul 2012

Role Models In Education (Symposium Introduction), Ronald G. Ehrenberg

Ronald G. Ehrenberg

It is our hope that by assembling these papers in one place, the Review will contribute to future policy debate on the importance of role models in education. Moreover, the papers' findings may have even broader importance. In many respects, the relationship between teachers and students can be viewed as analogous to the relationship between supervisors and employees. If the race, gender, and ethnicity of teachers "matter," so may the race, gender, and ethnicity of supervisors in the employment relationship. These papers thus suggest analogous types of research that could be profitably undertaken that relate to the employment relationship.


Officer Performance And Compensation In Local Building Trades Unions, Ronald G. Ehrenberg Jul 2012

Officer Performance And Compensation In Local Building Trades Unions, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] This paper presents estimates of the relationship between the performance and compensation of local building trades union leaders. A growing literature has revived the common-sense notion that organizations should structure the compensation of both their employees and their executives so as to encourage them to take actions consistent with the goals of the organizations. One way to minimize the probability that executives will take actions contrary to the organization's goals is to tie their compensation to measures of their organization's performance.


Absenteeism And The Overtime Decision, Ronald G. Ehrenberg Jul 2012

Absenteeism And The Overtime Decision, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] Upon reading the congressional hearing on the Overtime Pay Penalty Act of 1964, one cannot fail to be impressed by the emphasis that management places on absenteeism as a primary cause of overtime. The argument given is basically quite simple: Large firms, it is claimed, attempt to account for absenteeism by hiring standby workers; however because of the stochastic nature of the absentee rate, it is impossible for them to have replacements always available. Hence overtime must be worked by existing employees in order to meet production schedules. One concludes from this argument that the randomness of absenteeism is …


The Incentive Effects Of Tournaments Revisited: Evidence From The European Pga Tour, Ronald G. Ehrenberg, Michael L. Bognanno Jul 2012

The Incentive Effects Of Tournaments Revisited: Evidence From The European Pga Tour, Ronald G. Ehrenberg, Michael L. Bognanno

Ronald G. Ehrenberg

This analysis of data from the 1987 European Men's Professional Golf Association (PGA) Tour strongly supports the hypothesis that the level and structure of prizes in PGA tournaments influence players' performance. Specifically, players' performance appears to vary positively with both the total money prizes awarded in a tournament and the marginal return to effort in the final round of play (a value that varies among players largely depending on how the prize money is allocated among finishers of different ranks). The authors suggest that these results, together with the similar results of their earlier study of the 1984 U.S. Men's …


Retirement System Characteristics And Compensating Wage Differentials In The Public Sector, Ronald G. Ehrenberg Jul 2012

Retirement System Characteristics And Compensating Wage Differentials In The Public Sector, Ronald G. Ehrenberg

Ronald G. Ehrenberg

This paper presents evidence that a trade-off exists between wages and certain characteristics of retirement systems in the public sector. Cross-section econometric estimates for uniformed municipal employees, based upon data from two national surveys of municipalities, suggest that, other things equal, an increase in the contribution made by uniformed employees to their retirement system leads to a compensating increase in their salaries, while retirement systems with more "generous" characteristics are associated to some extent with lower salaries. The estimates also indicate that the extent of retirement system underfunding is related to employers' and employees' perceptions of the probability that promised …


Estimating The Narcotic Effect Of Public Sector Impasse Procedures, Richard J. Butler, Ronald G. Ehrenberg Jul 2012

Estimating The Narcotic Effect Of Public Sector Impasse Procedures, Richard J. Butler, Ronald G. Ehrenberg

Ronald G. Ehrenberg

This paper first describes in a relatively nontechnical fashion several econometric techniques that the authors believe should be useful to industrial relations researchers. Those techniques are then applied to an analysis of whether public sector impasse procedures create a "narcotic effect," that is, a tendency for the bargaining parties, once they use the procedures, to become increasingly reliant on them in future negotiations. The authors reanalyze data from Thomas Kochan and Joan Baderschneider’s study of the impasse experience of police and firefighters under New York State’s Taylor Law during the 1968-76 period and find that while a narcotic effect did …


Do Teachers’ Race, Gender, And Ethnicity Matter? Evidence From The National Education Longitudinal Study Of 1988, Ronald G. Ehrenberg, Daniel D. Goldhaber, Dominic J. Brewer Jul 2012

Do Teachers’ Race, Gender, And Ethnicity Matter? Evidence From The National Education Longitudinal Study Of 1988, Ronald G. Ehrenberg, Daniel D. Goldhaber, Dominic J. Brewer

Ronald G. Ehrenberg

Using data from the National Educational Longitudinal Study of 1988 (NELS), the authors find that the match between teachers' race, gender, and ethnicity and those of their students had little association with how much the students learned, but in several instances it seems to have been a significant determinant of teachers' subjective evaluations of their students. For example, test scores of white female students in mathematics and science did not increase more rapidly when the teacher was a white woman than when the teacher was a white man, but white female teachers evaluated their white female students more highly than …


The Underrepresentation Of Minority Faculty In Higher Education: Panel Discussion, John Brooks Slaughter, Ronald G. Ehrenberg, Eric Hanushek Jul 2012

The Underrepresentation Of Minority Faculty In Higher Education: Panel Discussion, John Brooks Slaughter, Ronald G. Ehrenberg, Eric Hanushek

Ronald G. Ehrenberg

[Excerpt] The 3 July 2002 issue of the Chronicle of Higher Education described the matter we are discussing today in these words: "Taken together. African-Americans and persons of Hispanic origin represent only 8 percent of full-time faculty nation-wide, and while 5 percent are African-American, half of them work at historically black institutions. The proportion of black faculty members at white institutions is 2.3 percent, virtually the same as it was 20 years ago." We are privileged to have the opportunity to explore this issue from two different perspectives. The first contends that unless major changes occur, the number of minority …


The Impact Of The Overtime Premium On Employment And Hours In U.S. Industry, Ronald G. Ehrenberg Jul 2012

The Impact Of The Overtime Premium On Employment And Hours In U.S. Industry, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] This paper presents empirical estimates of the intra-industry cross-section relationship between annual overtime hours per man and the ratio of these quasi-fixed costs to the overtime wage rate. Estimates are also made of the impact of a change in the overtime premium on employment and hours; these estimates have implications for policymakers concerned with the wisdom of increasing the overtime premium as a method of job creation.